Wheat Ends Near Lows for the Day

The wheat market continued to slide lower through Friday, giving back another double digits on the report day. Chicago prices settled within 5 cents of the day’s low on 10 to 12 cent losses. KC wheat futures closed 11 3/4 to 12 3/4 cents in the red, with March within a nickel of the day’s low. Spring wheats ended 7 3/4 to 8 1/2 cents weaker on the day. The wheat futures market is trading red through midday. The new cash average price for 

The weekly CFTC Commitment of Traders report had CBT wheat specs at 63,382 contracts net short as of 12/6. That was a 9.3k contract stronger net short driven by 12.5k new shorts through the week and took them to their strongest net short since May of 2019. In KC wheat, the CFTC had managed money funds 7,400 contracts less net long to just 9,724 contracts – a 15-wk low. Managed money firms were selling short spring wheat through the week, and expanded their net short by 1,619 contracts to 3,048 as of 12/6. 

The USDA’s monthly WASDE report made no domestic changes for wheat – outside of the dime reduced cash price. On the global stage, production was down by 2 MMT, as Australia’s 2 MMT boost offset a 3 MMT reduced Argentine and a 1 MMT lighter Canadian crop. Wheat exports were upped by 2.2 MMT, with Australia and Russia capturing the market share. Carryout was 267.33 MMT compared to the 268 MMT trade average guess and 267.5 MMT Nov figure. 

Dec 22 CBOT Wheat  closed at $7.12 3/4, down 11 1/2 cents,

Mar 23 CBOT Wheat  closed at $7.34 1/4, down 12 cents,

Cash SRW Wheat  was $6.68 1/2, down 11 7/8 cents,

Mar 23 KCBT Wheat  closed at $8.33, down 11 3/4 cents,

Cash HRW Wheat  was $7.96 3/8, down 11 1/2 cents,

Mar 23 MGEX Wheat  closed at $9.01 1/2, down 8 cents,