Global grain markets continued to bounce about, having weakened in recent weeks on the back of the potential impact of coronavirus, which might see China’s economy slow, and the apparently good overall condition of the Russian wheat crop. A recent AHDB report suggests that the weakening of the ruble there could further add to the pessimistic outlook. The weak ruble is increasing internal prices and encouraging farm selling.

While wheat was under pressure, maize is on somewhat of an up, in the US in particular. This has happened due to a recent surge in US export sales, which has helped to turn this crop out of its recent slide. If this continues, it may spill over into other cereal markets.

MATIF rapeseed futures weakened last week following pressure in soya bean markets and also lowering crude oil prices. However, prices up to and including next February have all strengthened again.

Closer to home, markets are regarded as being strong in recent weeks, helped by a lack of selling. Spot wheat has been between €200 and €204/t, but nearby barley is finding it difficult to break €175/t and price is heavily related to location. May wheat is potentially up around €205/t, with barley possibly up to €180/t.

However, new-crop prices have been hit by the improved harvest prospects from Russia and November wheat is now quoted at around €190/t or lower and barley is back around €170/t due the anticipated high supply.