The US Fed left interest rates unchanged and downgraded the prospect of further rate hikes. The US Fed did say that they are keeping their options open for a rate change in December if needed just to balance the argument and keep the punters speculating. The Aussie dollar jumped over 1% on the news and is trading around 76.3c this morning.

US wheat futures saw a little weakness in SRW while the hard and spring wheat contracts closed a little higher. Is this the start of the quality wheat premium rally we are looking for. Or am I diving into a swimming pool getting filled by a garden hose.
The big news in the wheat market was the about face on ergot by Egypt. After the last two tenders found no offers due to their zero tolerance stance on ergot. Not long after the change was announced a new tender for an undisclosed volume from the United States, Ukraine, Russia or Australia was announced. It will be interesting to see who offers and if Egypt simply change their stance again once the commitments are made.

The four dally rally in US soybeans came to a halt last night as harvest picked up there and reports of exceptional yields hit the floor. The weaker bean market rippled through to canola that shed C$5.50 on the nearby contract. The stronger AUD will also hurt.