Grain markets on both sides of the Atlantic were in retreat on Monday ahead of the publication of the latest WASDE (World Agricultural Supply & Demand) report from the US Department of Agriculture.

The lead-up to the publication of a new WASDE report can cause volatility in the market but in saying this, European grain prices are now at their lowest point in months, painting a very bleak outlook for producers. Further turmoil coming from Asian financial markets on Tuesday is unlikely to help the situation.

Europe

On the Euronext exchange (MATIF) in Paris, prices for May 2016-delivered wheat lost €2/tonne to finish Monday’s session at €161/t, while May 2017 delivered wheat was down marginally to fall below the €180/t mark.

European maize (corn) futures from Paris also took a hit for the sixth consecutive day’s trade. June 2016 maize was back almost €2/t to settle at €155/t, while prices for June 2017-delivered maize also lost €2/t to finish just below €170/t.

Rapeseed futures were mixed but remain extremely weak. May 2016-delivered rapeseed lost almost €3/t to finish at €357/t, while May 2017 rapeseed futures recovered some of the massive losses endured at the end of last week after prices lifted by €3/t to settle at €353/t.

Chicago

On the Chicago exchange (CBOT) cereal futures were also under pressure, with the market anticipating the latest data from the USDA WASDE report.

SRW wheat for May 2016 delivery lost almost $3/t to settle at $170/t (€152/t), while May 2017-delivered SRW wheat was also down $3/t to finish on $187/t (€168/t).

US maize (corn) prices also began this week on a negative note, with May 2016-delivered maize falling back more than $1/t to end the day below $145/t (€129/t), while maize for May 2017 delivery also lost $1/t to finish below $158/t (€141/t).