Spring Wheat Holds Relatively Firm on Red Day
Wheat futures tumbled on report day, though Minneapolis prices were relatively firm at the close. Chicago futures ended with 10 to 11 ½ cent losses. KC futures ended 6 to 7 ¾ cents lower. The spring wheat futures on the MGE went home with losses of less than 2 ½ cents. USDA lowered their cash average price for wheat by 10 cents to $7.20.
USDA’s WASDE report increased the wheat import projection by 10mbu and trimmed domestic food use by 4 mbu for a net 14 mbu looser carryout of 684 million bushels.
The weekly Export Sales report showed 354,298 MT of wheat was booked during the week that ended 11/2. That was a 28% increase for the week, and was 10% above the same week last year. HRW and HRS each made up 120k MT of the total. All wheat export commitments are at 11.7 MMT, which is 6% behind last year’s pace.
Globally, USDA cut wheat production by 1.45 MMT, as India was cut 2 and Argentina was 1.5 MMT lower to 15. USDA raised Russia’s output by 5 MMT to 90, now just 2 MMT behind last year. USDA raised China’s wheat import by 1 MMT to 12. Total world wheat exports were 1.25 MMT lower, and on net carryout was 560k MT looser to 258.7 MMT.
Rosario Grains Exchange cut Argentina’s wheat forecast by 750k MT to 13.5 MMT. Harvest was marked at 10% complete.
Dec 23 CBOT Wheat closed at $5.80 3/4, down 11 1/2 cents,
Mar 24 CBOT Wheat closed at $6.06 1/4, down 10 1/4 cents,
Cash SRW Wheat was $4.99 1/1, down 11 1/2 cents,
Dec 23 KCBT Wheat closed at $6.47 1/4, down 7 3/4 cents,
Cash HRW Wheat was $5.79 3/4, down 7 3/4 cents,
Dec 23 MGEX Wheat closed at $7.34 1/2, down 1 cent,
Source Link : https://www.nasdaq.com/articles/spring-wheat-holds-relatively-firm-on-red-day
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