PARIS: European wheat prices edged lower in late trade on Thursday, pressured by a further rise of the euro against the dollar, in very thin volume with many operators away between the Christmas and New Year holidays, traders said.
March milling wheat on Paris-based Euronext was down 0.16 percent by 1643 GMT to 159.25 euros a tonne, after hitting a one-month low of 159.00 euros a tonne earlier in the day.
But activity was very light. March was on track to record the lowest volume traded on the contract since October, at a time when it was not the benchmark contract.
On the Chicago Board of Trade, US wheat futures fell on Thursday after posting gains of more than 1 percent in the previous session.
There was no publication of European grain export and import data on Thursday due to the year-end holidays at the European Commission in Brussels. These are due to resume on Jan. 3, an official said.
The euro rose 0.5 percent to $1.1945 after touching its highest in a month. It has gained more than 13 percent so far this year, well on the way to its best annual performance since 2003.
“The increase of the euro remains the most penalising factor for our markets,” French consultancy Agritel said.
“Low temperatures currently in place in North America are not enough to boost prices despite a real risk of damages for winter wheat crops especially in northern areas.”
Extreme cold has hit the US Plains, raising concern over potential yield losses for crops, although snow cover should reduce winterkill risk for winter wheat in many areas.
Source: Brecorder.com
