In US futures markets we see soybeans dragging everything lower, especially ICE canola futures. After opening the session weaker soybeans headed south in a big way. The current crop tour scouting through Illinois bean fields tend to think the USDA maybe currently underestimating the potential yield of the US crop. The Same crop tour actually think that yields for corn in Illinois may not be as good as the USDA expect. This saw corn supported but unable to break away from the influence of the selloff in the bean pit by the close. Wheat closed lower on the back of weakness in corn and soybeans but is also struggling with appallingly bearish fundamentals.

Earlier in the week Egypt cancelled a tender when only Russian and Ukraine wheat were offered. It has since come to light that a leading figure in the Egyptian wheat program has resigned after accusations of corruption were made in regards to domestic purchases. This may see the tender delayed further. The Ukraine offer was US$171.10 FOB before the tender was cancelled.

The UK crop is coming in with good milling quality to date. This is a big deal at the moment as much of western Europe struggle to harvest milling grades.