Markets continue to drift from the highs set two weeks ago, the closer we get to the November deadline for the Black Sea safe shipment Corridor negotiations, the more that dominates everyones thinking. It’s hard to judge just what is priced into the market at this point. If the deal is extended in its current form, markets will surely slide (there is a sense that grains are generally somewhat over-priced in the context of the wider economic downturn) but the fireworks if it were cancelled would be spectacular. In the meantime, we bounce around in sympathy with the stock markets and currency which are both bumpy for other reasons. Expect another choppy / wobbly market again this week.

UK wheat gets ever closer to achieving a Euro 30 discount vs French futures – a much wider gap than we are used to – certainly we are very competitive for business into the EU and beyond, trade is going on now for feed as well as milling grades. Maybe we will trade out our surplus after all. Our own shipping programme is very busy, early season demand for malting barley continues at a good pace, which we must take full advantage of as we have an enormous surplus available for export. With wheat now coming into action as well, it will be a full om autumn. 

Have a good week.