Wheat Prices Lower Again on Wednesday
“Wheat futures tumbled on Wednesday as traders shed July positions ahead of index fund roll. Chicago contracts dropped 10 ¾ to 11 ½ cents, marking the July contract’s 6th consecutive decline. Kansas City settled 10 ¾ to 11 lower. MPLS spring wheat closed 11 to 11 ¾ lower. Weekly export sales forecasts suggest negative trends for old crop and 200,000 to 550,000 MT for new crop. Japan tenders for 103,767 MT, with SovEcon slashing Russian production forecast.”
Wheat futures sustained some double-digit losses on Wednesday as former bulls continued to unwind their July positions ahead of the main index fund roll period. Chicago contracts were down 10 ¾ to 11 ½ cents, with a 6th consecutive down day for the July contract. Kansas City futures settled 10 ¾ to 11 lower but did get up off the deck. MPLS spring wheat futures closed 11 to 11 ¾ lower.
Weekly wheat export sales ideas for tomorrow morning are leaning negative 100,000 MT for old crop in the week ending May 30, with the marketing year ending May 31. New crop ideas are 200,000 to 550,000 MT.
Japan’s Ministry of Ag is tendering for 103,767 MT of wheat from the US, Australia, and Canada, with 31,600 MT US specific. Results are expected by morning. Private forecaster SovEcon has cut projected Russian wheat production to 80.7 MMT, noting the sharp drop in NDVI (crop greenness) following the May frost event.
Source Link: https://www.barchart.com/story/news/26652442/wheat-prices-lower-again-on-wednesday
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