Wheat Rallies on Lows on Wednesday
Wheat futures surged on Wednesday, recovering from recent lows, with MPLS spring wheat leading the gains. Chicago futures rose 4-8.5 cents, Kansas City contracts gained 6-10.75 cents, and MPLS spring wheat futures jumped 6.75-16 cents. Strong global demand and expectations of higher US weekly wheat export sales drove the rally. Egypt, Algeria, and South Korea made significant purchases, totaling 1.41 million MT. USDA will release weekly export sales data on Thursday.
All three wheat exchanges were higher on Wednesday, pulling off recent lows. Chicago futures were up 4 to 8 ½ cents per bushel. Kansas City contracts were 6 to 10 ¾ cents higher at the close. MPLS spring wheat futures were leading the bull charge, if we can call it that, up 6 3/4 to 16 cents.
Trade ideas for US weekly wheat export sales are running 225,000 to 600,000 MT for the week ending July 11. USDA will release those numbers tomorrow morning.
After Egypt’s big purchase of 770,000 MT on Tuesday, Algeria bought at least 600,000 MT of wheat in their tender on Wednesday. South Korean importers purchased 40,000 MT of US wheat on Wednesday.
Sep 24 CBOT Wheat closed at $5.39 1/4, up 8 1/2 cents,
Dec 24 CBOT Wheat closed at $5.63 1/2, up 8 cents,
Sep 24 KCBT Wheat closed at $5.61, up 10 3/4 cents,
Dec 24 KCBT Wheat closed at $5.77 1/2, up 10 1/2 cents,
Sep 24 MGEX Wheat closed at $5.91 3/4, up 16 cents,
Dec 24 MGEX Wheat closed at $6.11 1/2, up 14 1/4 cents.
Source Link : https://www.barchart.com/story/news/27456740/wheat-rallies-on-lows-on-wednesday
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