The wheat complex is posting strong double digit gains on Friday. Chicago contracts are up 16 to 17 cents across the nearbys. Kansas City futures are trading 16 cents to the upside at midday. MPLS spring wheat futures are 13 to 15 cents in the green.
USDA added 10 mbu back on to the old crop export projection in this morning’s WASDE, which cut the 23/24 carryout number to 688 mbu. Still, 24/25 stocks are seen as building, with the carryout projected at 766 mbu, 16 mbu below the average trade guess. All wheat production was pegged at 1.858 bbu, with winter wheat coming in 46 mbu below the trade at 1.278 bbu. That was due to SRW down 68 mbu vs. the estimate at 343.6 mbu. HRW was above estimates at 705.4 mbu, with white winter at 218.7 mbu.
World stocks for the 23/24 balance sheet were tallied at 257.8 MMT by the USDA this morning, a 0.5 MMT reduction. New crop was projected to drop yr/yr by 4.2 MMT to 253.61 MMT.
SovEcon has trimmed their 24/25 Russian wheat production estimate by 3.4 MMT to 89.6 MMT. USDA’s initial estimate was 88 MMT in this morning’s report.
Jul 24 CBOT Wheat is at $6.54 1/2, up 17 cents,
Sep 24 CBOT Wheat is at $6.74 1/4, up 16 1/2 cents,
Jul 24 KCBT Wheat is at $6.67 3/4, up 16 cents,
Sep 24 KCBT Wheat is at $6.80 3/4, up 16 cents,
Jul 24 MGEX Wheat is at $7.18, up 14 1/4 cents,
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