Wheat Weakness Carries Over into Monday

Wheat prices are starting the new week with 1 to 6 cent losses in early Monday market action.  Chicago wheat finished last week as a net gain, though futures faded by 5 ½ to 7 ¼ cents on Friday. Dec MPLS wheat futures finished the week with a net ½ cent gain, despite being 6 to 7 ¼ cents weaker on the day. KC wheat fell 7 ¼ to 7 ¾ cents on Friday, leaving Dec with a net 3 ½ cent loss Friday to Friday. 

USDA’s WASDE report increased the wheat import projection by 10mbu and trimmed domestic food use by 4 mbu for a net 14 mbu looser carryout of 684 million bushels. Globally, USDA cut wheat production by 1.45 MMT, as India was cut 2 and Argentina was 1.5 MMT lower to 15. USDA raised Russia’s output by 5 MMT to 90, now just 2 MMT behind last year, though left their exports alone. USDA raised China’s wheat imports by 1 MMT to 12. Total world wheat exports were 1.25 MMT lower, and on net carryout was 560k MT looser to 258.7 MMT. 

Rosario Grains Exchange cut Argentina’s wheat production forecast by 750k MT to 13.5 MMT. Harvest was marked at 10% complete. 

Dec 23 CBOT Wheat  closed at $5.75 1/4, down 5 1/2 cents, currently down 4 1/2 cents

Mar 24 CBOT Wheat  closed at $5.99 1/4, down 7 cents, currently down 4 cents

Cash SRW Wheat  was $4.93 1/2, down 5 1/2 cents,

Dec 23 KCBT Wheat  closed at $6.40, down 7 1/4 cents, currently down 5 3/4 cents

Cash HRW Wheat  was $5.71 1/2, down 7 1/4 cents,

Dec 23 MGEX Wheat  closed at $7.30 1/2, down 4 cents, currently down 2 cents