Wheat Posts Double Digit Monday Strength
The wheat complex was in rally mode on Monday with contracts up double digits across the three markets. Chicago SRW futures were up 11 to 12 cents on the day. KC HRW futures closed with 13 to 15 cent gains in the front months. MPLS spring wheat was 11 to 12 cents higher in the nearbys.
Individual state Crop Progress reports showed KS winter wheat rated 52% gd/ex, with a Brugler500 index at 337, down from 54% and 344 respectively from the week prior. Ratings in TX were down 6% and 13 points on the Brugler500 to 28% gd/ex and 282, respectively.
The USDA Export Inspections report showed a total of 216,713 MT (7.94 mbu) of wheat shipped in the week of 3/6. That was a 44.65% decline from the week prior and less than half of the same week last year. Mexico was the largest destination of 139,200 MT, with 37,459 MT. Shipments so far this MY are at 15.848 MMT (582.3 mbu), which is 17.78% above the same time last year.
The monthly WASDE report from USDA will be released on Tuesday, with traders looking for no major changes to the US ending stocks projection. The average trade estimate is 797 mbu, a 3 mbu increase from last month. Very few changes are expected for the world number, with an average estimate up 0.04 MMT to 257.6 MMT.
Mar 25 CBOT Wheat closed at $5.45 1/4, up 11 1/2 cents,
May 25 CBOT Wheat closed at $5.62 1/2, up 11 1/4 cents,
Mar 25 KCBT Wheat closed at $5.65 3/4, up 14 1/2 cents,
May 25 KCBT Wheat closed at $5.78 1/2, up 13 3/4 cents,
Mar 25 MGEX Wheat closed at $5.90, up 12 cents,
May 25 MGEX Wheat closed at $6.04 1/2, up 11 3/4 cents,
On the date of publication, Austin Schroeder 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.