The wheat complex saw a sharply higher open out of the three-day weekend, but are well offhte highs at midday. Chicago contracts are trading with just 1 to 2 cent gains so far. Kansas City futures are up 5 to 7 cents across the front months. MPLS spring wheat is trading 3 to 4 cents higher on the session.
The delayed Tuesday morning Export Inspections report showed 398,904 MT in all wheat shipments during the week of May 23. That was a 74.8% jump from the previous week and a 1.9% increase over the same week last year. Mexico was the largest destination of 121,915 MT, with 96,800 MT headed to the Philippines and 81,461 MT to Taiwan. As we enter the last week of the MY, the total exports have totaled 18.292 MMT, which is down 6.52% from the previous MY.
Friday’s Commitment of Traders report indicated spec traders in Chicago wheat cutting another 3,658 contracts from their net short position to 24,593 contracts by May 21, the smallest since October 2022. In Kansas City futures, they trimmed just 503 contracts from that short position to 16,764 contracts as of Tuesday.
Russia lowered their export tax to 2,977.30 rubles/MT, effective through June 4. Their internal prices have been rising due to frost damage and dry weather that is restricting replanting. Some forecasts have light rains working into the afflicted region by mid-week. IKAR came out with another update to their Russian wheat production estimate, lowering it by another 2 MMT to 81.5 MMT on Monday. SovEcon also trimmed their projection by 3.6 MMT to 82.1 MMT.
Jul 24 CBOT Wheat is at $6.98 3/4, up 1 1/2 cents,
Sep 24 CBOT Wheat is at $7.18 3/4, up 1 1/4 cents,
Jul 24 KCBT Wheat is at $7.28, up 6 3/4 cents,
Sep 24 KCBT Wheat is at $7.41 3/4, up 6 cents,
Jul 24 MGEX Wheat is at $7.56 3/4, up 4 cents,
Sep 24 MGEX Wheat is at $7.66 1/4, up 3 3/4 cents,
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