US wheat futures hit their highest levels in nearly nine years on Thursday and Friday, while European wheat futures climbed to a 13.5 year high, boosted by concern that global exports could be lower than expected.
Chicago Board of Trade December wheat closed up 4.5 cents on Friday at $US8.17 a bushel after reaching $8.26.75, the highest price in a continuous chart of the most-active wheat contract since December 2012.
March milling wheat on Paris-based Euronext settled up 1.75 euros, or 0.6%, at 294.00 euros ($US336) a tonne.
On Thursday it had reached 296.00 euros, the highest price on a second-month position on Euronext since September 2007.
“The EU is getting to a spot where it can’t export a lot of new wheat. So Paris has pushed to a new record high,” said Dan Basse, president of AgResource Co in Chicago, told Reuters.
Support also stemmed from the rumours that Russia, the world’s top wheat supplier, could curb exports.
Russia may change the way it calculates grain export taxes if prices rise further, Agriculture Minister Dmitry Patrushev said. Russia also plans to set export quotas for the first half of 2022.
Meanwhile, Australian wheat export prices reached a record high on November 9 amid expectations of a bumper output for a second consecutive year and promising exports for the 2021-22 marketing year (October-September).
S&P Global Platts said it had assessed the Australian Prime White wheat index at a record high $343.50/tonne on November 9, up $2.50 a tonne from November 8, while the Australian Standard White wheat index was unchanged on the day at $333.50 a tonne.
Last week’s heavy rain had traders holding off until the drier weather expected across eastern Australian wheat areas this week.
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