Wheat Markets Decline Ahead of Thanksgiving

Lower Prices Reflect Backtracking from Last Week’s Tensions

Wheat prices faced a downturn this week as Chicago SRW futures fell between 7 ½ and 10 ¼ cents. Similarly, KC HRW contracts decreased by 7 ¾ to 10 ¾ cents. In the MPLS spring wheat market, prices lowered by 5 to 5 ½ cents. This decline comes as the markets have shed much of the premium gained from last week’s heightened Black Sea conflict.

According to the final NASS Crop Progress report of the season, as of November 24, the U.S. winter wheat crop was reported to be 97% planted, with 89% of the crop emerged. Current conditions are rated at 55% good to excellent—a 6% increase from the previous week. The Brugler500 index rose by 10 points to 348, showing a 35-point improvement since the initial rating five weeks ago. While national reports have concluded, specific state reports will continue to be released throughout the winter.

The USDA’s Export Inspections report indicated a shipment of 360,513 MT (13.25 million bushels) of wheat for the week ending November 21. This number reflects a substantial rise of 83.24% from the previous week and a 24.98% increase compared to the same week last year. Japan led the way as the largest destination, importing 138,621 MT, while the Philippines received 57,523 MT. Cumulative marketing year shipments have reached 10.69 MMT (392.65 million bushels), which marks a 31.15% increase over last year.

Dec 24 CBOT Wheat closed at $5.35 3/4, down 8 1/2 cents.

Mar 25 CBOT Wheat closed at $5.55 3/4, down 9 cents.

Dec 24 KCBT Wheat closed at $5.46 1/2, down 7 3/4 cents.

Mar 25 KCBT Wheat closed at $5.57, down 8 1/2 cents.

Dec 24 MGEX Wheat closed at $5.81, down 5 cents.

Mar 25 MGEX Wheat closed at $5.96 1/2, down 5 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
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