Brent crude oil prices have rallied close to $50/ba this week on the back of hopes that Iran will attend a meeting of OPEC-producing countries next month. Iran has been ramping up oil production since US trade sanctions were lifted earlier this year.

Wheat prices were trimmed sharply this week as traders look at a well-supplied global market. While Russian wheat exports are set to reach a record 30m tonnes this year, Canadian growers are also set to produce a record wheat crop of more than 30m tonnes for only the second time this century.

At the last GDT auction, Chinese and southeast Asian buyers accounted for 90% of product snapped up. These buyers tend to time their buying to match the beginning of the New Zealand milking season, so all eyes will be on how the market holds up once they complete their initial orders.

After flooding and heavy rains hit central Europe in May and June, resulting in French wheat production falling to a 30-year low, dry weather is now causing concerns for Europe’s maize crop with the EU cutting production forecasts by 3% to 7.23t/ha.