Wheat prices on Euronext declined on Tuesday, reaching their lowest level in roughly two weeks as maize futures continued to push to new contract highs. Market participants said the price gap reflected growing concern that maize was more adversely affected than wheat by an episode of extreme heat at the end of June.
Traders were also awaiting official data that could provide further direction. The U.S. Department of Agriculture was scheduled to release reports on grain planting and stocks later in the day, and market participants said those updates would be closely watched for confirmation of crop and supply conditions.
On Euronext, September wheat fell 0.5% to €201.50 ($230.21) per metric ton at 1526 GMT. During the session the contract touched €200.25, its lowest settlement level since June 16.
Wheat had been trading higher in the prior week, rising to a four-week high last Wednesday as a record heatwave in France prompted concerns across grain markets. Since then, the pace of Euronext wheat gains slowed as market participants judged that French wheat would be relatively less affected by the late-June heat compared with maize.
The combination of price weakness in wheat and strength in maize underlines how weather events can have uneven effects across crops even when they occur in the same region. Traders cited assessments that the maize crop sustained greater damage from the extreme temperatures, and that view has been a key factor in maize contracts moving toward new highs even as wheat relinquished some recent gains.
With the USDA reports pending, the market was positioned for potential updates on planting progress and on-stock balances that could either reinforce or revise current estimates. Until those official figures are published, traders said, the grain complex would likely continue to price in uncertainty around the relative condition of maize and wheat after the late-June heat event.
Market snapshot:
- September Euronext wheat: down 0.5% to €201.50 per metric ton at 1526 GMT.
- Session low for the contract: €200.25, the weakest level since June 16.
- Maize: trading at new contract highs amid concerns about crop damage from late-June heat.