Euronext wheat slips again as export competition hangs over market
PARIS, Sept 19 (Reuters) -Euronext wheat extended its fall on Thursday to a two-week low as competitive Black Sea exports continued to pressure prices while global weather concerns were tempered by rain forecast for dry U.S. and Brazilian crop belts.
December wheat BL2Z4 on Paris-based Euronext was down 1.5% at 215.25 euros ($239.83) a metric ton by 1547 GMT, heading for a fourth daily loss to move further from last Friday's one-month top of 228.00 euros.
The contract earlier touched its lowest since Sept. 3 at 214.75 euros.
Chicago wheat also fell Wv1, curbed by lower than expected weekly U.S. exports and partly expected rain in U.S. winter wheat zones. GRA/
Results reported by traders in a tender by Tunisia on Thursday suggested the 125,000 tons booked would be sourced from the Black Sea region.
Russian and Ukrainian export prices remained steady during a recent rally in wheat futures, widening their gap with western European levels.
"In general, Russian and Ukrainian export prices remain anchored at their lows and a continued fast export pace for both countries - regardless of any conflict issues – are continuing to add to market negativity," British merchant Frontier Agriculture said in a note.
Brisk Black Sea exports have countered concerns about war escalation risks and adverse weather in the region.
Ample international supplies have taken attention away from a rain-hit harvest in Western Europe, including the smallest French crop since the 1980s.
Farm office FranceAgriMer on Wednesday sharply lowered its forecast for French soft wheat exports in 2024/25, now seen down 61% from last season.
At Rouen, France's largest grain port, a single small vessel carrying 7,000 tons was the only soft wheat shipment in the past week, data from the port showed on Thursday.
($1 = 0.8975 euros)
Reporting by Gus Trompiz; Editing by Conor Humphries
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