EU wheat eases on Iran war uncertainty, US data in focus

PARIS, March 27 (Reuters) - Euronext wheat fell on Friday amid uncertainty over efforts to end the Iran war and caution before U.S. crop data encouraging participants to adjust positions after a three-day rally.

May milling wheat BL2K6, Euronext's most-active position, settled 1.0% lower at 203.25 euros ($233.88) a metric ton, to end the week unchanged from last Friday's close.

Chicago wheat Wv1 also fell. GRA/

Financial investors have switched to a long position in Euronext wheat during the Iran crisis, though they reduced their net long holdings last week, Euronext data showed.

Investors were assessing comments by U.S. President Donald Trump who on Thursday delayed again threatened attacks on Iran's energy plants and has emphasised what he has described as productive negotiations aimed at a diplomatic solution to the war, despite Tehran's assertions that no such talks have begun.

Crude oil and the dollar gained ground, however, as financial markets remained cautious about the prospects for an end to the war in Iran and concerned about ongoing disruption to energy supply.

Grain markets are also awaiting direction from U.S. planting and stocks estimates on March 31. The data is attracting particular attention given potential for rising fuel and fertiliser costs to lead farmers to change planting plans.

Traders are also monitoring drought in the southern U.S. Plains, with hot weather this week raising the risk of crop stress before forecast rain from next week.

In western Europe, crop conditions were generally favourable.

In France, soft wheat ratings were stable in the week to March 23 at 84% good/excellent, according to farm office FranceAgriMer. Crop development remained ahead of average after a warm start to March and ahead of a cold spell this week.

In the UK, 82% of the wheat crop was rated as in good or excellent condition, according to a survey conducted by the Agriculture and Horticulture Development Board (AHDB).

The ratings were significantly above the 67% rated in good or excellent condition in late March 2025.

"After an exceptionally wet winter, conditions have improved of late and though a few isolated fields remain waterlogged, most soils have drained better than expected, benefiting crops," AHDB analyst Helen Plant said.

($1 = 0.8690 euros)