Written Commentary
ADM Reports Q1 2024 Results
April 30, 2024
ADMISI London Wheat Report for 4 January
- January 5, 2024
- ADMISI Grains Team
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London Wheat Report
Rishi Sunak says his “working assumption” is to call a general election for the second half of this year. It was thought Sunak could call an election in May – but that seems to have been ruled out. NHS bosses have made more than 20 requests for striking junior doctors in England to be allowed to cross the picket line to help out services. Luke Littler the 16 darting sensation couldn’t make world champion last night, but what a run it was to come runner-up.
Germany on Thursday said it was diluting proposed subsidy cuts for agriculture after a backlash from farmers, as Chancellor Olaf Scholz’s coalition seeks to finalise a 2024 budget draft after a court ruling threw its spending plans into turmoil. Rather than ending at once, the farmers’ tax break will be reduced by 40% this year, then by 30% in 2025, with a complete end to the subsidy on agricultural diesel from 2026.
The last 4/5 Chicago Soybean session have seen them slide, and today was no different. Beneficial rain has caused a slump in futures prices after the tail end of last year saw unfavourable weather drive the market up. Yesterday’s prices were the lowest since October 2023. The rest of the Soy complex was also in the red.
US wheat markets opened with much of the same sentiment as the rest of the week. Down. Chicago wheat slid into the 500s, MW nearly got to 700 and Kansas was down 11 cents. Mid-afternoon there was a turnaround. All US wheat markets were trading positively at the time of writing.
European wheat markets followed those across the pond, started down then U-turned mid-afternoon to trade positively until the close. London saw some volume today, over 500 lots crossed the line across the curve. May/ Nov spread was trading out to 13.50 again, but saw most volume at the £13 mark. May 24 did get down to £192 per tonne this morning but this afternoon look settled in and around the 194 level. Nov 24 had a smaller range than the old crop £205.25 the Low, 206 the high. Majority of volume went through at the high of the day, 207.
Contact the ADMISI Grains and Oilseeds Derivatives Brokerage team
Hanne Bell, Ryan Easterbrook and Aaron Stockley-Isted
Phone: +44 (0)20 7716 8477 or +44 (0)20 7716 8140 Email: intl.grains@admisi.com
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© 2024 ADM Investor Services International Limited
Risk Warning: Investments in Equities, Contracts for Difference (CFDs) in any instrument, Futures, Options, Derivatives and Foreign Exchange can fluctuate in value. Investors should therefore be aware that they may not realise the initial amount invested and may incur additional liabilities. These investments may be subject to above average financial risk of loss. Investors should consider their financial circumstances, investment experience and if it is appropriate to invest. If necessary, seek independent financial advice.
ADM Investor Services International Limited, registered in England No. 2547805, is authorised and regulated by the Financial Conduct Authority [FRN 148474] and is a member of the London Stock Exchange. Registered office: 3rd Floor, The Minster Building, 21 Mincing Lane, London EC3R 7AG.
A subsidiary of Archer Daniels Midland Company.
© 2024 ADM Investor Services International Limited.
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