Wheat Markets Rally into Weekend

After cooling off on Thursday, wheat futures traded back higher on into the weekend. Chicago prices ended the day up by 7 to 10 cents, with Dec at an 8 ½ cent gain for the week. KC HRW futures went home double digits higher on Friday and a net 15 cent gain for the week’s move. Front month spring wheat futures closed 2 ¼ to 5 ½ cents in the black. 

The weekly CoT report had managed money traders 5,458 contracts more net short in CBT wheat after the week of 9/12. The net new selling left the group 84,139 contracts net short. The funds were also net new selling KC wheat during the week, for a 3.3k contract stronger net short of 13,148 contracts. CFTC data showed managed money was 13,361 contracts net short in MGE wheat as of 9/12. That was a 1,948 contract stronger net short via net new selling. 

Romania’s Transport Minister announced the plan to double Ukrainian grain transit capacity to 4 MMT remains on schedule for the coming months. Ukraine’s Ag Minister reported wheat harvest at 22.15 MMT as of 9/15 – up by 15.4% from the same point last year. 

Canadian wheat production was forecasted at 29.835 MMT by StatsCan. That compares to the Tuesday WASDE estimate of 30 MMT. Last Year StatsCan had wheat output there at 34.335 MMT but dryness hurt production in the Prairies this year. 

Dec 23 CBOT Wheat  closed at $6.04 1/4, up 10 1/2 cents,

Mar 24 CBOT Wheat  closed at $6.29 1/2, up 9 1/4 cents,

Cash SRW Wheat  was $5.15 7/8, up 10 cents,

Dec 23 KCBT Wheat  closed at $7.46 1/2, up 10 cents,

Cash HRW Wheat  was $6.74 1/8, up 10 cents,

Dec 23 MGEX Wheat  closed at $7.89, up 5 1/2 cents,