Euronext Wheat Futures eased Monday, as Black Sea exports boosted prices in Paris from their three-week high.

The grain markets also showed signs of consolidation as they awaited the widely anticipated U.S. government's crop forecasts, which are due later this week.

The December wheat contract, which was the most active position on Paris' Euronext, closed down 0.3% to 218.00 Euros ($240.85 per metric tons).

The contract moved away from the Friday peak of 222.50 euro, which marked a significant recovery from a low of just 204.75 euro in late August.

The rebound had only gone so far. A futures dealer commented that there may be some profit-taking before the USDA report, which is due Thursday.

Chicago wheat has recovered from a recent fall, and is now trading at a higher level in U.S. trade. This was helped by weekly U.S. Export Inspections that were above expectations.

The dry weather in the Midwest of the United States, which had supported a similar recovery for corn, is now creating pressure, as it could accelerate the start work on harvest.

The large exports of Black Sea wheat, which is cheaper, have remained a drag on Paris and Chicago Futures.

The prices of Russian wheat were not much changed by the end of last week. IKAR reported that new-crop wheat with 12.5% protein, free-onboard (FOB), for October was $215 per metric tonne. Sovecon also reported $218 to $221 per ton as the nearest delivery date for wheat with this protein content.

IKAR announced separately on Monday that it had reduced its forecasts of Russian wheat production this season and for exports.

Export data from Sovecon, however, highlighted a brisk activity in recent months. The consultancy estimated that Russian wheat exports were 5.7 million tonnes in August, a sharp increase from 3.6 millions in July.

APK-Inform, a consultancy, said that it has raised its forecast for Ukrainian wheat exports in 2024/25, as the country has increased wartime exports via a shipping route along the western edge to the Black Sea.

According to LSEG, France's export activity remained low, with barley being the most popular grain for China. $1 = 0.9051 Euros (Reporting and editing by Paul Simao, Tomaszjanowski)

(source: Reuters)