To start the week wheat opened the session steady to higher with Mpls steady and the winter wheat exchanges higher. Technical buying helped give wheat strength early as most months bounced off contract lows. Gains were trimmed in the winter wheat exchanges early while Mpls continued to trade with modest gains throughout the night and day session. Expectations of good planting progress pressured the winter wheat exchanges. Selling was also tied to increased production estimates for Ukraine.
Wheat opened Tuesday’s session mixed with Mpls wheat lower while the winter wheat exchanges started higher. But all three wheat exchanges lost strength later in the night as by early morning, all three wheat exchanges were lower. Early selling was tied to Tuesday being port tax day. The US boat tax on all Chinese ships in US ports and all US ships in Chinese ports is subject to tariffs. The government shutdown is preventing the release of the Crop Progress report but estimates from Reuter’s are estimating winter wheat planting at 66% complete vs 50% last week. Ukraine’s Ag Minister is estimating 59% of the intended winter wheat acreage is planted vs 49% last week and vs 74% last year. By midsession wheat started to firm and turned higher with strength coming from technical buying as wheat bounced off another round of new contract lows.
In Wednesday’s session wheat opened with each exchange going in their own direction. By the end of the night session, all three exchanges were in the red. Selling pressure continued once the day session started, but pressure was limited due to a firmer corn and soybean complex. There are reports that EU has increased trade quotas for Ukraine products in an attempt to help stabilize their economy. This is negative as it will lead to the EU importing more goods from Ukraine and less from the US. Technically wheat continues to flirt around contract lows as it looks for direction.
On Thursday wheat opened with each exchange going in its own direction at the start but then fading to post losses by the end of the night session. Wheat continued to trade mixed throughout the day’s session, with lackluster demand adding pressure. Increasing world production estimates continue to add selling pressure. The early selling pressure was enough to push wheat to new lows again today in all three exchanges. The strength in the corn and soybeans was enough to push Chiago and KC higher into the close. Mpls only trimmed losses.
Dec MIAX MW support is $5.65, Dec CME MW support is $5.25, Dec Chicago wheat support is $5.00, Dec KC support is $5.00.
For the week, Dec Mpls MIAX was at $5.485 down 3.25 cents, Dec Chicago was at $5.0375 up 5.25 cents, Dec KC was at $4.915 up 8.5 cents.
Wheat Weekly Comments October 17
Wheat Weekly Comments October 17
To start the week wheat opened the session steady to higher with Mpls steady and the winter wheat exchanges higher. Technical buying helped give wheat strength early as most months bounced off contract lows. Gains were trimmed in the winter wheat exchanges early while Mpls continued to trade with modest gains throughout the night and day session. Expectations of good planting progress pressured the winter wheat exchanges. Selling was also tied to increased production estimates for Ukraine.
Wheat opened Tuesday’s session mixed with Mpls wheat lower while the winter wheat exchanges started higher. But all three wheat exchanges lost strength later in the night as by early morning, all three wheat exchanges were lower. Early selling was tied to Tuesday being port tax day. The US boat tax on all Chinese ships in US ports and all US ships in Chinese ports is subject to tariffs. The government shutdown is preventing the release of the Crop Progress report but estimates from Reuter’s are estimating winter wheat planting at 66% complete vs 50% last week. Ukraine’s Ag Minister is estimating 59% of the intended winter wheat acreage is planted vs 49% last week and vs 74% last year. By midsession wheat started to firm and turned higher with strength coming from technical buying as wheat bounced off another round of new contract lows.
In Wednesday’s session wheat opened with each exchange going in their own direction. By the end of the night session, all three exchanges were in the red. Selling pressure continued once the day session started, but pressure was limited due to a firmer corn and soybean complex. There are reports that EU has increased trade quotas for Ukraine products in an attempt to help stabilize their economy. This is negative as it will lead to the EU importing more goods from Ukraine and less from the US. Technically wheat continues to flirt around contract lows as it looks for direction.
On Thursday wheat opened with each exchange going in its own direction at the start but then fading to post losses by the end of the night session. Wheat continued to trade mixed throughout the day’s session, with lackluster demand adding pressure. Increasing world production estimates continue to add selling pressure. The early selling pressure was enough to push wheat to new lows again today in all three exchanges. The strength in the corn and soybeans was enough to push Chiago and KC higher into the close. Mpls only trimmed losses.
Dec MIAX MW support is $5.65, Dec CME MW support is $5.25, Dec Chicago wheat support is $5.00, Dec KC support is $5.00.
For the week, Dec Mpls MIAX was at $5.485 down 3.25 cents, Dec Chicago was at $5.0375 up 5.25 cents, Dec KC was at $4.915 up 8.5 cents.