EU wheat extends gains as export mood brightens

By PARIS/HAMBURG: Euronext wheat rose for a second session on Friday as a Saudi import tender and this week's slide in the euro raised hopes for fresh export demand, traders said. Benchmark December milling wheat on Paris-based Euronext was up 0.7percent by 1458 GMT at €240.75 a metric ton. The contract earlier rose to €243.25, its highest in more than a week, as it recovered further from Tuesday's six-week low of €231.50. The euro rose against the dollar after weaker-than-expected US jobs figures. But the European currency was still near Thursday's low, which had marked a level not seen since May 2025. The euro's drop this week has bolstered expectations that Western European wheat could be in contention in Saudi Arabia's tender seeking 535,000 tons of wheat that closed on Friday. Rising shipping costs, however, may hamper the chances of origins like French wheat, traders said. Results from the tender are expected on Monday. A lack of progress in diplomatic efforts to a secure a truce in attacks around the Black Sea also underpinned wheat prices. 'Ongoing disruptions in the Black Sea and reduced Russian export forecasts could keep global markets on edge, providing a floor to prices,' British merchant Frontier Agriculture said in a note. Curtailed Black Sea exports have led importers to switch to other origins and there was talk that Egyptian buyers were again looking at French wheat after taking several cargoes in recent weeks. 'I heard Egyptian buyers had some negotiations about buying French wheat this week,' a German trader said. 'French wheat was offered around USD330 a ton c&f (cost and freight included) to Egypt.' However, traders stressed Egyptian buyers were still focusing buying on Black Sea origins, whether Romanian and Bulgarian wheat from usual ports or Russian and Ukrainian supplies via alternative routes. Russian wheat continued to be offered in large volumes for shipment via the Baltic Sea, despite Estonia's announcement of a ban on the transit of Russian grain through its territory, according to traders. 'Sales offers were in the market today included 55,000 tons of 12.5percent protein Russian wheat for October loading in Latvia at USD270 a ton FOB along with substantial numbers of other Baltic Sea shipments,' the German trader said.