Wheat Market Higher to Start Thursday on Profit Taking

Wheat futures are 2 to 3 cents per bushel higher on Thursday morning.  Wheat sustained some double-digit losses on Wednesday as former bulls continued to unwind their July positions ahead of the main index fund roll period (which starts Friday). Chicago contracts were down 10 ¾ to 11 ½ cents, with a 6th consecutive down day for the July contract.  Kansas City futures settled 10 ¾ to 11 lower but did get up off the deck. MPLS spring wheat futures closed 11 to 11 ¾ lower.   

Weekly wheat export sales ideas are leaning negative 100,000 MT for old crop in the week ending May 30, with the marketing year ending May 31.  New crop ideas are 200,000 to 550,000 MT. 

Japan’s Ministry of Ag bought 103,767 MT of wheat from the US, Australia, and Canada, with 31,600 MT of US HRW, 22,460 MT of Aussie standard white and the rest Canadian WRS. 

Private forecaster SovEcon has cut projected Russian wheat production to 80.7 MMT, noting the sharp drop in NDVI (crop greenness) following the May frost event. Forecasts for improved moisture in southern Russia and eastern Ukraine appear to have been over optimistic. 

Jul 24 CBOT Wheat  closed at $6.46 3/4, down 11 1/2 cents, currently up 3 ½ cents

Sep 24 CBOT Wheat  closed at $6.68 1/2, down 11 1/2 cents,

Jul 24 KCBT Wheat  closed at $6.76 1/4, down 11 cents,

Sep 24 KCBT Wheat  closed at $6.90 1/2, down 10 3/4 cents,

Jul 24 MGEX Wheat  closed at $7.12 1/2, down 11 cents,

Sep 24 MGEX Wheat  closed at $7.21 1/2, down 11 3/4 cents,

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