Benchmark December wheat on Paris-based Euronext, was down 0.4 percent at 178.50 euros a tonne at 1604 GMT. The sale yesterday of the first French wheat cargo to Egypt for the new campaign failed to provide price support because of the discount granted, traders said. The US dollar recovered some losses against the euro on Wednesday after touching a more than one-year low in the prior session.
Price moves were also limited by farmers' reluctance to sell, which slowed down the cash market, they added. "We're short of sellers. Although the harvest is progressing at a good pace, there is no pressure to sell, no need to make room," a cash broker said. The quality appeared promising in France but the outlook was less clear in Germany.
"The quality is clearly there (in France) and the final quantity will be good," an operator said. German cash premiums in Hamburg were flat. Standard bread wheat with 12 percent protein content was offered for sale unchanged at 2 euros under the Paris December contract for September delivery in Hamburg.
"Farmers are generally either harvesting barley or trying to harvest wheat instead of selling," one German trader said. "Late rain is interrupting work and causing concern about late quality loss including possibly lower overall protein content." "But it is still too early for a realistic assessment of protein levels, although generally a protein problem is not expected. However, more rain is forecast late on Thursday and up to Sunday so more harvesting delays are expected." High quality wheat was again offered for sale well over milling wheat on hope damage to the US spring wheat crop will push demand for high protein grades to Germany.