Following the long liquidation selloff, wheat futures are back to the plus side with a double digit return higher for Tuesday. SRW is back up by 2.8%. That has March at a net 4 ¾ cent loss for the week’s move through the two trade days. KC HRW futures are 4.4% higher at midday, with 25 to 28 ¼ cent gains. Spring wheat prices are also up by 19 ¾ cents on 2.7% gains.
Wheat exports were 281,697 MT for the week that ended 12/07, according to the USDA’s Export Inspections report. While seemingly small, that was a 50% increase for the week, and was up 60k MT from the same week last year. The report had white wheat at 103k MT of the total and HRS as 96k MT of the total. The accumulated wheat exports reached 8.6 MMT, compared to 11.1 MMT at the same point last year.
The French Agriculture Ministry reported that farmers planted ~5% less winter wheat this go around, with 4.5m HA. That is also ~5% under the 5-yr average.
Russia is a small producer of durum wheat and is restricting exports for that class between now and June. This is presumably because exports through mid-November were over 650,000 MT compared to only about 52,000 MT a year ago.
Mar 24 CBOT Wheat is at $6.26 1/2, up 17 cents,
May 24 CBOT Wheat is at $6.36 3/4, up 17 1/2 cents,
Mar 24 KCBT Wheat is at $6.60, up 27 3/4 cents,
Mar 24 MGEX Wheat is at $7.31 1/4, up 19 1/2 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.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
