Grain price: LIFFE wheat drops amid Brexit vote; MATIF holds firm
On Wednesday, the LIFFE wheat price for January dropped below £170.00/t for the first time since November 30.
The reason for the drop can largely be attributed to currency movements. The value of the pound (against the euro) rose significantly from the middle of last week and on Friday (January 18) morning stood at £1=€1.13. This makes UK products more expensive in the ‘eurozone’ and, as a result, wheat price has dropped.
LIFFE wheat opened the week at £171.30/t (January 14) and dropped steadily throughout, hitting £170.55/t on Tuesday (January 15), before dropping to £169.30/t on Wednesday (January 16).
In better news, MATIF wheat for March held strong over the week. It opened at €203.75/t on Monday (January 14) and hit €203.00/t on Tuesday (January 15), before climbing up to €204.00/t on Thursday (January 17). On Friday (January 18) afternoon the price stood at €204.25/t.
CBOT wheat isn’t very exciting as of late. It started the week at 514c/bu, dropped slightly midweek and climbed back to 517.75c/bu on Thursday (January 17).
- January 14 – 514.25c/bu;
- January 15 – 511.00c/bu;
- January 16 – 512.50c/bu;
- January 17 – 517.75c/bu.