EU wheat edges up on Algeria purchase, war risks

Euronext wheat edged higher for a second session on Wednesday, moving further from contract lows, supported by a large Algerian purchase and news of a drone strike on Russia’s main Black Sea port that rekindled war concerns. December wheat (BL2Z5) on Euronext’s Paris-based futures market was up 0.4% by 1436 GMT at 190.75 euros ($223.90) per metric ton. The most-active contract on Euronext was recovering from a contract low of 187.75 euros hit during Tuesday’s session. Euronext prices also drew support from a weaker euro and a slight rise in Chicago wheat, which was also coming off contract lows. Wheat markets had been under pressure from rising global supply, as well as Monday’s news that Argentina would temporarily suspend grain export taxes to boost dollar-generating overseas sales. But rising estimates for the volume bought by Algeria in an import tender on Tuesday raised expectations that grain buyers may take advantage of the recent slide in prices. Algeria’s state grains ...