But Egypt also bought a cargo from both France and Romania, showing that European Union material remained competitive, despite high prices, given limited options for importers. The sale of French wheat to Egypt encouraged the market to shrug off a six-week high for the euro against the dollar, which made grain from the euro-zone more expensive for export.
"US and European wheat shared the spoils in the Egypt tender," an export trader said. Adverse weather threatened to reduce crop output and quality in Argentina and Australia as wheat harvesting continues in the southern hemisphere. This could reduce supply to export markets after weather-affected harvests in Russia and Ukraine already limited their export capacities this season.
January milling wheat on the Paris futures market was up 2.00 euros or 0.74 percent at 271.50 euros a tonne by 1330 GMT, underpinned by technical support at 270 euros. Chicago wheat futures added about 1 percent, recouping some of their 2.5 percent fall from Friday.
In Germany, the EU's No 2 exporter after France, cash prices were marked up in line with Paris, with the positive export outlook and high feed wheat markets keeping prices over French levels. Standard milling wheat for January delivery in Hamburg was offered for sale up 2 euros at 282 euros a tonne with buyers at around 280 euros. Continued demand and tight supplies kept German feed wheat around the same level or even above milling prices. Feed wheat for January delivery in the South Oldenburg market near the Netherlands was offered for sale up 1 euro at 284 euros a tonne with buyers around 282 euros.