Futures have remained relatively strong over the past week, partially driven by the lack of trading activity.

There has been an amount of winter wheat sowing done in the UK this week, but it will still be some time before the full impact of an expected reduced wheat crop will have on grain markets there.

This has supported the widening spread between old- and new-crop futures there.

As reported last week, futures were supported by the news of positive progress in the US-China trade deal.

However, the AHDB reports that following the air strike in Iraq on Friday 3 January, major US markets such as Chicago wheatm Maize and soya beans have all been under a degree of pressure in 2020.

While it may be some time before this pressure significantly impacts on an otherwise buoyant outlook, further escalation in the Middle East could add further political pressure to global markets.

Native prices static

Closer to home, while trade remains static, there may be selling opportunities for wheat this month.

Suggested trade prices put spot wheat in the €195 to €197/t bracket. Some sellers report up to €200/t from users. May wheat has increased slightly on last week, somewhere in the region of €200/t.

Spot barley is around €173/t to the trade. New-crop prices remain firm at around €185 to €188/t for wheat and €175/t for barley.

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Grain trends: futures strengthen but physical prices static