Wheat Fading Lower as Canadian Stocks Build

The wheat complex is in retreat mode on Wednesday, with contracts lower across most exchanges. Chicago SRW contracts are down 14 to 17 cents at midday. KC HRW futures are falling back 9 to 11 cents. MPLS spring wheat is down 3 to 4 cents on the day.

The weekly NASS Crop Progress report showed 86% of the US spring wheat crop harvested by Sunday, 3% ahead of the normal pace. The winter wheat crop was lagging the 5 year average for planting pace, by 3 percentage points at 2% complete.

USDA will leave the US production estimates alone in this month’s WASDE, as they wait for the Small Grains Summary on September 30. They will have a chance to update the rest of the balance sheet, with traders looking for few changes, as a Bloomberg survey shows an average guess of 718 mbu, just 1 mbu above August. 

South Korean importers purchased 100,000 MT of wheat from the US (50,000 MT) and Canada.

Canadian wheat stocks as of July 31 were tallied at 6.649 MMT, according to Stats Canada, which was up 56.8% from last year. Wheat excluding durum was at 5.547 MMT, up 48.8% from last year.

Sep 26 CBOT Wheat  is at $7.30 1/4, up 14 1/4 cents,

Dec 26 CBOT Wheat  is at $7.30 3/4, down 16 1/4 cents,

Sep 26 KCBT Wheat  is at $8.04 3/4, up 18 cents,

Dec 26 KCBT Wheat  is at $8.08, down 11 cents,

Sep 26 MIAX Wheat  is at $7.38, up 9 cents,

Dec 26 MIAX Wheat  is at $7.50 1/4, down 3 3/4 cents,

On the date of publication, Austin Schroeder did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.