Paris wheat futures were little changed on Monday as traders awaited direction from US government crop data while physical prices in Europe were generally firm on steady export demand. March milling wheat, the most active contract on the Paris-based Euronext exchange, settled unchanged from Friday's close at 183.25 euros ($201.98) a tonne.
Chicago wheat, the global benchmark, eased slightly. News in the grains complex was centred on soybeans, with traders reporting fresh purchases of US soybeans by China, with grain markets otherwise looking ahead to the US Department of Agriculture's (USDA) monthly US and world crop estimates on Tuesday.
"We'll have to see what the USDA numbers look like tomorrow," one futures dealer said. "Soybeans are where the action is today." In France, traders were monitoring the latest rainy spell, which could bring further delays to autumn sowing, as well as a continuing rail strike as part of protests against pension reform.
Physical premiums in France were steady, with limited selling and export loadings underpinning the market. In Germany, cash premiums in Hamburg were firm as supplies were called up to cover a healthy export loading programme. Standard bread wheat with 12% protein for January delivery in Hamburg was offered for sale at 3 euros over the Paris March contract, up from 2.25 euros over on Friday.
Buyers were offering about 2 euros over Paris. A busy ship-loading schedule also supported Polish prices. "While Polish millers seem to have enough coverage for December and after Christmas time, exporters are still aggressive buyers for 12.5% protein wheat for delivery to ports in January," one Polish trader said. Exporters raised purchase offers for 12.5% protein wheat for January delivery by 10 zloty a tonne on the week to 790 zloty (184.4 euros) a tonne.
"I estimate the high total of over 300,000 tonnes of milling wheat were exported out of Poland via ports in November," the trader said. "Polish milling wheat is still looking competitive against other Baltic exporters."