The wheat quotation on the Matif is still rising. The mood in the market is so tense that the question is almost no longer whether the €400 per tonne will be broken, but when.
After closing at €351,25 per tonne for the March contract, the Matif opened at €2 per tonne on Wednesday, March 370. That price quickly rose to €390 per ton, at 11:00 am. The market then fell slightly, although at €354 per ton shortly after noon it still remained above the closing price of the day before. At the time of writing this article, the current rate is €380 per tonne. The May contract - which sees the most trading - rose from €340,25 per tonne to a high of €371,25 per tonne. At the time of writing, the rate is €362 per tonne. That is a less extreme price movement than the March contract, but 6,4% is still a strong increase.
The first contract for the new harvest (September) has increased marginally. At the time of writing this article, the rate is €307,75 per tonne. That is 0,57% higher than the closing price of Tuesday, March 1. This amounted to €306 per tonne. The contracts for later in the season were above €1 per tonne on Tuesday, March 300, but have fallen below that again today. The December contract stands at €294,75 per tonne, decreasing to €284,25 per tonne for the May 2023 contract.
The corn quotation was also on the rise on the Matif. The March contract spiked from yesterday's close at €340 per tonne to €375 at today's high. The quotation has now fallen again, although it is still at a record high at €355 per tonne at the time of writing.
Rapeseed prices are increasing, but less extremely
It is striking that rapeseed, of which Ukraine and Russia are both important suppliers to the European Union, participates only to a limited extent in the rally on the Matif. So far this season, 50% of all rapeseed, rapeseed oil and rapeseed meal imported by the European Union come from Russia and Ukraine, according to European customs data. On Wednesday, February 23 (before the Russian invasion), the Matif stood at €740,25 per ton. That is now €828,50 per tonne. A significant increase, but not nearly as extreme as what happens in wheat. It is only slightly above the record price of €7 per tonne on January 828 this year.