Euronext COT: Funds Flip Net Long on EBM Wheat
Funds turned slightly net long on Euronext wheat this week. Their position moved from a net short of -11,168 lots last week to a net long of 5,991 lots this week. The shift reflects the purchase of 8,492 long contracts and a reduction of 8,668 short contracts. Commercials took profit on longs this week and moved from a net long of 19,695 lots to a net short of -1,553 lots.
Funds turned slightly net long on Euronext wheat this week, moving from a net short of -11,168 lots last week to a net long of 5,991 lots. This shift resulted from buying 8,492 long contracts and reducing 8,668 short contracts.
Commercials took profits on long positions and moved from a net long of 19,695 lots to a net short of -1,553 lots.
Corn: funds turned net long at +8,044 contracts (+1,194 vs last week). Despite this return to buying, momentum remains bearish over 4 weeks (-2,273 contracts), showing operators remain cautious. Commercials remain firmly net short at 7,798 lots, continuing to hedge production against firm prices.
Rapeseed: funds significantly increased long positions to +53,237 contracts (+4,624 vs last week), with momentum now clearly bullish over 4 weeks (+1,212). Commercials remain heavily net short at 53,981 lots, reflecting active production hedging with prices holding above €510/t.
Euronext also benefited from gains in Chicago wheat and oil this week, moving from €209/t Monday close to €217.5/t today at 5pm for the September maturity. Persistent drought in Western Europe, particularly France, is starting to weigh on yield potential. Internationally, production cuts in Australia (-20% to 29 Mt) and Canada (-10% to 36.2 Mt) reinforce the bullish sentiment.
EUR/USD fell back below 1.17 and trades around 1.1690 after hitting a high of 1.1755 Monday. WTI crude trades at $105.12/b (+5.19% on the day), Brent at $117.55/b (+5.80%), with the WTI-Brent spread at +$12.43/b.