Double Digit Drop in Friday Wheat

The downward slide in wheat continued into the weekend, with the board dropping another double digits on Friday. CBT SRW futures closed the last trading day of the week with 15 1/2 to 19 1/2 cent losses. For the week, Sep SRW pulled $1.14 3/4 off the premium to levels not seen since early Feb. KC wheat futures closed with 3 to 11 1/4 cent losses. September was down by $1.08 1/4 Friday to Friday. Sep’s YTD range has been $6.13 3/4. MPLS wheat futures went home firmer, with gains in the deferred months. At the bell, spring wheat was within 3 3/4 cents of Thursday’s settle. 

Weekly CFTC data had the SRW spec traders as 6,444 contracts net short as of 7/12. That was a 6.4k contract stronger net short wk/wk by way of further long liquidation. In KC wheat, spec traders were 5,650 contracts less net long to 16,387 contracts. That long liquidation left the group at their weakest net long since June of last year. Managed money firms were 2,477 contracts less net long in MPLS wheat as from 7/5 to 7/12. The group was still 2,654 contracts net long. 

Russia’s Ag Ministry estimates 20 MMT of 22/23 grain has been harvested to date. That included 15.5 MMT of wheat. France’s Ag Ministry reported the French wheat crop reached 50 harvested. 

Japan’s MAFF locked in 130,900 MT of wheat from the U.S., Canada, and Australia. The Philippines purchased 110k MT of wheat in an international tender. 

Sep 22 CBOT Wheat  closed at $7.76 3/4, down 18 1/4 cents,

Dec 22 CBOT Wheat  closed at $7.94, down 19 1/2 cents,

Cash SRW Wheat  was $7.16 1/2, down 16 3/4 cents,

Sep 22 KCBT Wheat  closed at $8.37 1/2, down 11 1/4 cents,

Cash HRW Wheat  was $7.87, down 11 1/4 cents,

Sep 22 MGEX Wheat  closed at $9.06 3/4, down 3 3/4 cents,