Currencies
Currency is beginning to feel very much like a repetitive subject with continuing 2 point range bound moves against both the € and the $.
The market feels quiet and lack lustre now with analysts sounding less optimistic about being able to break the 1.40 mark against the $ by the end of the year.
Wheat
Wheat continues to look volatile giving no suggestion of slowing down the current upward trend we are seeing. Globally information on stocks feels patchy.
We have continued to see some big cuts, with Canada now reporting that they will only have 15 MlnT exportable surplus, versus their normal 27 MlnT, Ukraine has said they have already sold 20% of their surplus wheat to China. However, other stories from Europe would suggest the volume is there, it is the quality which is doubtful.
With this in mind currently in the UK we are seeing more of a pattern where milling wheat premiums are pulling higher but feed wheat remains supported. The question will be though that once the global harvest is completed and the market is able to truly take stock of what volumes there is and of what quality, if at that point the markets re-adjusts, and prices move lower. If that were to happen though, it would be very unlikely to happen pre Christmas.
Soya
Soya prices have moved slightly lower this week on the back of Hurricane Ida reducing the US’s export capacity in the short term.
In terms of the physical crop, ratings remained unchanged at 56% good/excellent, down on the 66% five year average but with the acreage planted, the view is there is going to be sufficient supply.
This has been priced into the market now though, suggesting that the next key driver for prices will be more down to Chinese buying and overall global demand which is more likely to be a bullish factor than bearish.
And Finally…
Strangers send boy, 6, postcards from his lost teddy as it travels around the world.
A 6 year old boy was left heartbroken when he left his beloved Peter Rabbit on a bus during a family trip to Devon.
The family desperately posted on social media in an attempt to track down the soft toy when one stranger suggested sending postcards to reassure Ethan his Peter Rabbit was having fun and would be home soon.
The family have since been inundated with postcards from as far as Australia telling Ethan about the adventures Peter is having and although one lady has also contacted the family to say they handed the toy into the bus driver, so far he has yet to be reunited with Ethan.
Until then though, Ethan is enjoying reading about his beloved Peter’s adventures!
Regards,
Kay Johnson & Martin Humphrey
