Friday night saw US soybean values crash on the back of a mild, wet August forecast in the States. Corn closed lower but week on week managed to gain some ground but from the current level of values we need to see more than a few cents a bushel reclaimed. Wheat found support from EU concerns. Weighing over the market are the huge US yields from their winter wheat harvest which is now almost over. Spring wheat is starting to be harvested in S.Dakota so we should see some US quality reports there soon.

FranceAgriMer downgraded the wheat crop yet again. European values are mixed, bullish news from the French side of the complex and bearish news from the far east with Ukraine and Russian yields continuing to exceed expectations. French wheat production could be as low as 32mt this year compared to 41mt in 2015. 32mt is around 2007 levels, remember what wheat values were like just prior to the GFC, they were huge. We are very unlikely to see those values though given the exceptional production levels in almost every other major exporter.
The French crop condition rating was slashed 7% in the good to excellent range, now back to only 42%. Harvest there is around 17% complete. Harvest progress is also well behind last year but a dry week ahead should see them catch up a little.
Russia is expected to remove the wheat export tax on August 1st. Russian yields continue to be around 10% above 2015.