US markets were lower with corn, wheat and soybeans all closing in the red. MGEX wheat was about the only grain that bucked the trend but a nearby gain of half a cent per bushel is nothing to have a drink on.

ICE canola closed slightly lower on the nearby but outer months did shed a C$6 – C$7 per tonne. Paris rapeseed also broke the 11 session winning streak to close in the red.
Generally a lack of demand was blamed for the downside last night but many outside markets also closed lower. Luckily for us the AUD was one of the big fallers overnight shedding over 1% against the greenback and just under that against many of the other major currencies including China. This slippage in the values of the AUD should go a long way to counteracting the weaker close in grains.

French analytical group Strategie Grains reduced their forecast for this years EU soft wheat crop by 600kt month on month. This takes EU production to about 10% less than last year at around 135.8mt. Exports out of the EU were expected to decline 28% year on year but at this stage the pace of exports is quiet strong considering the product they are shipping.
The report also suggested there will be little change to the area sown to wheat in the EU for 2017 harvest.