Wheat Futures Market News and Commentary
Wheat futures rallied on the USDA reports, but faded into the close on profit taking. December Chicago SRW futures were up as much as 49 1/2 cents, but ultimately closed 25 1/4 cents higher. The other front months went home 10 1/2 to 25 1/4 cents higher on the day. KC HRW futures were 4 1/4 to 24 3/4 cents in the black on Friday. Spring wheat futures closed up by 8 to 16 cents.
The weekly Commitment of Traders report from CFTC showed Chicago wheat spec traders were 1,306 contracts less net short through the week that ended 9/27. That came via 13.5k fewer contracts in play as the short covering offset the long liquidation. Managed money funds were closing shorts in KC wheat as well, for a 4,846 contract stronger net long of 23,905 contracts on 9/27. The report also showed short covering from MGE wheat specs, causing a 1,867 contract stronger net long of 4,236.
NASS data showed wheat stocks were 1.776 bbu for Sep 1. That was within the range of estimates but under the av... Read more