Currency
£/$ 1.3069
£/€ 1.1067

The £ has lifted back up to 1.31 against the $ for the first time in months providing a dip in many raw material markets.  This was largely down to the misfortunes of the US with news that their economy shrank by 32.9% in Q2 of this year, the largest contraction on record.  There has been slight improvement against the € with positive reports around the progress of some parts of the Brexit negotiations. 

Wheat
Spot £169
Nov 20 £172

US wheat prices have remained largely unchanged week on week.  Good weather across the corn belt and a fall in global demand coupled with strong buying demand from China, because of the weak dollar, ended up balancing out prices.  Russia reported this week that their wheat crop is expected to be 2 MlnT above trade expectations and France are now 71% complete with their harvest and the ratings improving the more it progresses, however farmers seem reluctant to sell at current levels with the French Ag Ministry confirming a sub 30 MlnT crop this year.  The global stocks picture is still positive suggesting lower prices could come.  The EU are expected to cut the soft wheat production this year but to counter that, the prices of both maize and barley are expected to rise.  Spot premiums in the UK are beginning to erode now that harvest is underway, but farm sales will continue to be slow until everything is in the barn, and the size and quality of the harvest has been better understood.

Soya
Spot £302
Nov 20 £305

Soya is still finding support from continued Chinese buying, however the impact of that is beginning to waiver now as we continue to see ideal growing conditions across the US.  The crop ratings now stand at 72% good/excellent with 43% reported to be setting pods, ahead of the usual 36%.  Looking at South America this week, there have been reports of some port and crushing facilities having to close because of Covid.  The crop remains around 50% sold but the market remains very illiquid for the time being.

And Finally…
Imagine that day, the one where you plan to propose to your girlfriend – everything has to be right.

Whether it is preparing romantic lights and music in a tree for that special pop the question moment, or arranging a few romantic candles. 

What could go wrong?  Well, for the love-struck individual in Sheffield last week, it did not quite go to plan.  The man prepared balloons, a bottle of champagne, and then painstakingly lit hundreds of tea-lights in his flat, then rushed off to pick up his girlfriend from her work.  Imagine his surprise… and disappointment to find that on his return, the flat was a charred mess. She did say YES though!

Regards,

Kay Johnson & Martin Humphrey