Egypt tendered for second half June shipment. With such prices, French Wheat did not have any chance. Especially considering the freight difference, roughly $4 in favor of Russian. Very aggressive offers indeed from big traders on Russian wheat. They obviously bet the tax will be removed before their shipment. And they’ve been proven right the same day as Russian Agriculture Minister just proposed to cancel the tax from 15th of May. But GASC is not usually massively keen on booking multiples ships when there is so much difference in prices, we saw it last year when there was aggressive offers of French Wheat. Let’s bet on 60kT of Russian this time. French traders seem to be keen on keeping their wheat. Storage might become an issue soon, Senalia is still halting the wheat reception but other might follow. Very negative for the MATIF. Still down more than 2 euros. Chicago down 6 to 8 cents. Corn following with 4 to 5 cents.
Iraq, after cancelling / postponing a previous tender finally bought 50kT of US hard wheat. Iran bought 25kT of Ukrainian wheat, Taiwan 65kT of US corn,… Active days on physical side. Cheap prices triggering demand but still not enough to maintain the them. On its side, China is officially offering 3.4MT of its strategic reserve.
Still some strength on the beans and soy complex. South America concerns on logistics (strikes) but also the talks of China buying Argentinian soy oil and good demand of meals from Asia.
EUR rebounding a little bit, it seems to want to come back to test 1.12 again.