Spring Wheat Futures PricesFriday, May 25th, 2012

Wheat futures finished the session sharply higher today with concerns weather in the U.S. and Russia will deteriorate the wheat crop. Wheat futures prices moved sharply above the down trend line on the weekly chart off the February of 2011 high last week with this week taking out last week’s high but currently at a lower price than last weeks close. The wheat weekly change was down $0.15 for SRW, down $0.05 for HRW and down $0.06 for HRS wheat. The weekly CFTC report showed Managed Money added 57,083 contracts to their net short taking them to a net long of 7,026 contracts. The weekly crop condition report will be out Tuesday after the Memorial Day holiday Monday. The IGC sees a draw down in World wheat production from last year in 2012/13 and weather problems could contribute to a further decline in world production if problems persist. Wheat futures prices are currently over a dollar higher than old crop corn which could make wheat less attractive in the livestock feed market.

Jul 12 CBOT Wheat closed at $6.80, up 17 cents,
Jul 12 KCBT Wheat closed at $7.00, up 13 cents,
Jul 12 MGEX Wheat closed at $7.86 1/4, up 11 cents