The feed market is still coasting sideways while traders look out for any significant developments.

UK feed wheat prices made a small gain of around £7 a tonne over the last month, finishing at an average £187/t ex-farm; while soya eased back by £10 and stands at £445 (HiPro). 

See also: Laying hen flock expansion slows over summer

The result was a marginal gain in our basic layers ration of £3/t (see below).

Wheat has now stayed within a trading range of £18/t from top to bottom since June, moving alternatively up and down; and soya behaving likewise within a range of £32/t.

For now, the principal market factors that are thought most likely to impact on the trade have yet to be resolved.

Southern hemisphere crops

The situation in the Black Sea is as tense as ever, but Russian wheat continues to press on prices globally.

On the other hand, attention has turned in the last week or so to the progress of crops in the southern hemisphere, leading to the upward price tick for wheat.

Dry weather has become a concern in Argentina and Australia, especially in the latter, where September has set a record for lack of rain, and the wheat crop predictions there have already been reduced.

Dryness in Argentina is potentially affecting both the wheat and maize crops, which have a strong influence on each other. 

Argentina is expected to account for a fifth of global maize exports this coming season.

In the case of soya, most of the US crop was still to be brought in at the start of this month and was going well, while good weather was expected to continue, allowing prices to ease back.

Soya

Following behind is the South American soya crop, which is also going well and expected to be a large one, with plantings 3% up on last year.

Any shift in sentiment could be prompted by the October USDA report, which was due out at the end of this week. 

For now, pending developments, the forward indicators are set to weakly bearish on prices for the coming months for wheat, maize and soya alike.