Wheat Dropping into Thursday
Wheat is fading by as much as 7 cents after the overnight action. The wheat complex continued to leak lower on Wednesday. Chicago contracts closed with 9 to 14 cent losses. Kansas City futures were 6 ¾ to 10 cents lower across the board. MPL spring wheat futures saw 6 ¾ to 9 ¼ cent weakness at the close.
USDA’s Office of the Chief Economist has the preliminary look at 24/25 wheat output at 1.9 bbu, an 88 mbu increase from 23/24. Stocks are shown growing 111 mbu to 769 mbu, as the carry-in stocks are also set to start higher.
Traders are looking for the weekly FAS Export Sales report to show between 300k and 550k MT of wheat bookings for the week that ended 2/8.
Russia’s SovEcon raised their estimate for 24/25 production by 1.4 MMT to 93.6 MMT. Russia’s Export Tax for old crop exports was raised by 11.8% to 4,058.9 rubles/MT.
Egypt’s GASC is tendering for wheat for mid-April delivery. Quantities will vary with the prices offered.
Mar 24 CBOT Wheat closed at $5.85 1/2, down 12 cents, currently down 5 cents
May 24 CBOT Wheat closed at $5.83, down 14 cents, currently down 4 3/4 cents
Mar 24 KCBT Wheat closed at $5.84, down 8 1/4 cents, currently down 7 1/4 cents
Mar 24 MGEX Wheat closed at $6.62 1/2, down 9 1/4 cents, currently down 2 3/4 cents
On the date of publication, Alan Brugler 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.
