Wheat Trading Early Morning Strength For Midday Losses
Midday sees wheat market retreat from overnight highs, with Chicago and Kansas City futures down 9 to 10 cents, while MPLS spring wheat dips 5 to 6 cents. Export inspections data shows a weekly uptick of 4.29%, reaching 416,010 MT, led by shipments to the Philippines and Mexico. Despite this, yearly exports show a 5.52% decline. Speculative traders adjust positions, with Chicago net shorts at 25,431 contracts and Kansas City at 9,748 contracts. ABARES raises Australian wheat estimate to 29.1 MMT, close to USDA’s projection of 29 MMT.
The wheat market is reversing the stronger overnight trade, with losses at midday. Contracts in Chicago are down 9 to 10 cents. Kansas City futures are also posting 9 to 10 cent lower action. MPLS spring wheat is down 5 to 6 cents at midday.
All wheat exports were tallied at 416,010 MT in the final full week of the 23/24 MY according to FGIS Export Inspections data. That was an improvement of 4.29% from the week prior and 36.7% above the same week last year. The Philippines were the top destination of 98,559 MT, with 83,448 MT to Mexico. Nearly full year data shows 18.709 MMT of shipments, a 5.52% drop from the year prior.
The weekly Commitment of Traders report had spec traders in Chicago wheat adding just 838 contracts in a week, taking their net short position to 25,431 contracts by Tuesday. In Kansas City futures, they cut 7,016 contracts from their short position to just 9,748 contracts as of May 28.
ABARES raised their Australian wheat crop estimate by 0.7 MMT to 29.1 MMT, near the USDA 29 MMT projection.
Source Link: https://www.nasdaq.com/articles/wheat-trading-early-morning-strength-midday-losses?time=1717439642
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