Market Overview
Euronext wheat prices climbed on Monday as maize futures surged on both sides of the Atlantic, driven by concerns that extreme heat could damage crops. September wheat on the Paris‑based exchange rose 1.5% to €204.50 per metric ton by 1505 GMT, while Chicago wheat added roughly 2%.
Maize Price Movement
November maize on Euronext jumped 3.6% to €239 per ton, after earlier reaching a new high of €240, extending its unusually large premium over wheat. The ZC contract recorded a 3.83% increase.
Weather Impact on French Crops
France faced hot, dry weather with temperatures expected to approach 40 °C (104 °F) in the southwest, threatening maize crops that already suffered a sharp decline during a late‑June heatwave. French farmers projected a 30% decline in maize production for the year. A weak maize harvest could boost demand for European maize imports and increase wheat usage in livestock feed.
Supporting Factors for Wheat
A weaker euro and a large Saudi Arabian purchase provided additional support to wheat prices. Traders expect Black Sea suppliers to fulfil most of the Saudi order. Strong volumes in the ongoing French wheat harvest and expectations of high production in the Black Sea export region offered resistance to further price gains.
U.S. Corn Concerns
In the United States, a heatwave across the Midwest raised early worries about stress to corn crops, contributing to a rally of more than 3% in U.S. corn futures, which in turn supported Chicago wheat.