We are firmly in the grip of a weather market – with reports being issued almost daily from the US, Russia and the Ukraine. The El Nino story is growing in credibility, with weather forecasters looking for evidence of a poor south-west monsoon in India, droughts in Australia, and heavy rains in South America. UK July futures wheat hit £190 (£7 up on last Friday’s close) but was £2 lower by the end of this week, and November ended on its high of £171, nearly £10 up on the week. Non-GM soya and GM soya were £423 and £366 respectively ex-port. These values are close to their all-time highs, and yet the fundamentals are still bullish! It is just not possible to make sense in these markets and we hope that things settle down by mid-July (for reasons stated in last week’s newsletter). Therefore we have produced a slightly different newsletter this week.
30-06-2012 07:54 AM | Viewed 1328 times