Wheat Recovering to Kick Off Wednesday Trade
The wheat market is trading with gains early on Wdnesday. Wheat is trading with losses across most contracts on Tuesday. Chicago SRW futures were 7 to 9 cents lower across the front months on Tuesday. Preliminary open interest dropped 10,496 contracts. Kansas City HRW contracts were 10 to 11 cents in the red. Preliminary OI was down 1,767 contracts on Tuesday. Minneapolis spring wheat futures saw 8 to 10 cent losses.
A Bloomberg survey of analysts shows expected wheat production ahead of Thursday's crop progress report to be up 3 mbu to 1.924 bbu. Much of that is likely going to come from the winter wheat crop which is expected to rise nearly 8 mbu to 1.389 bbu. The HRW crop is seen up 4 mbu to 755, with SRW 2 mbu higher to 346 and the white wheat crop steady at 253. Old crop wheat stocks are expected to be up 4 mbu to 845, with the new crop total up 2 to 925 mbu.
Crop Progress data had the spring wheat crop conditions improving in ND (+18), SD (+10), MN (+6), ID (+2) all improving. Deterioration was noted in MT and WA, losing 5 points. The US winter wheat ratings saw a large shift in NE (+77 points), as gd/ex ratings jumped 20% to 43% and poor/very poor down 35% to 13%. Other notable improvement was TX (+20), with CO (+19), and OK (+9). Ratings in MT were down 38 points, with OR falling and WA down 12.
EU soft wheat export have totaled 19.49 MMT according to the EU Commission data from July 1 to June 8, which lags the 29.23 MMT from the same period last year. Taiwan importers purchased 95,450 MT of wheat from the US overnight.
Jul 25 CBOT Wheat closed at $5.34 1/2, down 7 1/2 cents, currently up 4 1/2 cents
Sep 25 CBOT Wheat closed at $5.48 3/4, down 8 1/4 cents, currently up 4 1/4 cents
Jul 25 KCBT Wheat closed at $5.27 1/4, down 10 1/4 cents, currently up 5 3/4 cents
Sep 25 KCBT Wheat closed at $5.40, down 10 1/4 cents, currently up 5 1/4 cents
Jul 25 MGEX Wheat closed at $6.13 1/4, down 9 1/4 cents, currently up 6 1/4 cents
Sep 25 MGEX Wheat closed at $6.23 3/4, down 8 3/4 cents, currently up 5 3/4 cents
On the date of publication, Austin Schroeder did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.