Currency is unchanged week on the week. The Bank of England will delay any interest rate rises until possibly 2026. Wheat markets have continued their downward trend this week. France increased their carryout by 1.3 MlnT. Looking at the UK wheat prices, they have followed the global pattern. Soya continues to trend lower. The organic market has been particularly volatile with various political and supply issues in India.

Currency markets have been fairly uneventful this week, and with continued underlying support for £. Global wheat markets have had a quiet start. France reported this week that their crop ratings are currently 88% good/excellent. Looking at the UK, prices have bounced within a small range. Soya prices were drifting lower at a steady pace, until the USDA report.

This week the Sterling has stayed fairly flat. The budget this week was seen as positive for the UK economy, giving support to the FTSE market. Old crop news has been relatively quiet this week, with US markets down slightly on lower export figures. Soya prices are down week on week with the prospect of a record Brazilian crop.

The £ has continued to find strength breaking through key resistance levels once again. US wheat markets moved higher this week on the back of winter kill fears with harsh storms across the Midwest. Looking at the UK, AHDB revised their figures this week, reducing demand for wheat for the rest of old crop position. Soya seems to have found a bottom level again and is now beginning to bounce back off that.

£ found continued strength over economic optimism. 15 million vaccinations reached. Route out of lockdown to be announced on 22nd Feb. Wheat markets were quiet. China absent due to New Year celebrations. Cold weather lends support to Matif markets. New crop prices supported by imposition of new Russian export tax. Soya had a quieter week post last weeks USDA report. 90 millions acres of soya have been planted encouraged by high prices. NASA successfully land the Perserverance Mars Rover.

The £ found more strength this week and broke the 1.37 level to reach 1.38, the highest level since 2018. The important monthly report lowered wheat end stocks by 9 MlnT. Russia announced this week that they have signed off their ‘floating’ tax for new crop. UK prices were down £3 on the week following other markets. Soya began the week moving higher in anticipation of a bullish USDA report.

The £ has continued in that same range of around 1.37 against the $ and 1.14 against the €. Global markets have had a choppy week but are generally slightly lower. The main support is coming from the corn market. Liffe wheat has moved lower although now seems to have found a level. Soya has had a choppy week, initially dropping lower but having since begun to level and creep back up.

The £ has continued to make small gains this week trading around $1.37 against the $ and €1.14. Global wheat markets started the week lower with fund money taking the opportunity for profit taking. In the US, 20% of the corn contracts are now held by the funds. Soya saw significant drops at the early part of the week, circa £35/T. Brazil is wetter than ideal in the South of the country which is now slowing harvest.

The £ has made gains this week breaking 1.37 against the $. The £ is up to 1.14 against the €. This week it was reported that China has seen a 6.5% growth to their economy in the last quarter. US wheat contracts rose a further $10 reaching new contract highs. Soya has ended the week well off the highs after some rain did fall across Argentina. Crop ratings in Argentina were increased up to 21% good/excellent.

The lockdown and the UK’s vaccine programme roll out, are contributing to keeping the £ range bound against both the $ and €. The USDA report this week pushed markets into double digit overnight gains. Soya continues to rally strongly. Again over dryness in South America and an ever increasingly tight carryout figure for US old crop.

As expected, the £ has generally reacted positively against both the $ and the € .US wheat is now $18 higher. The main driver in prices appears to be the corn story in South America. UK wheat has inevitably followed the rest of the global markets. New crop is currently trading at around a £40 discount to old crop. Soya continues to rally strongly, again over dryness concerns in South America.