Wheat Futures Rise as Export Data Shows Increased Demand
Wheat futures are experiencing modest gains as Friday’s midday trading unfolds. Chicago SRW futures have risen by 11 to 2 cents across most contracts. Meanwhile, KC HRW contracts are up by 2 to 3 cents at this point in the day. Additionally, MPLS spring wheat futures have increased by 3 to 4 cents in the front months.
Weather Outlook Promises Precipitation for Southern Plains
The upcoming week anticipates precipitation in the eastern parts of the Southern Plains, affecting some SRW regions as well. The 8-14 day forecast indicates wetter conditions for much of the country, bringing above-average temperatures with no immediate winter kill threats.
Export Sales Data Reflects Strong Demand
Recent export sales data report shipments for all wheat and products totaling 11.316 million metric tons (MMT). This figure marks a 29% increase from the previous year, representing 48% of the USDA’s new forecast, which falls short of the 53% average pace typically expected. Commitments stand at 16.317 MMT, reflecting a 9% rise from last year and accounting for 71% of the USDA’s marketing year export target, also trailing the average pace of 78%.
Russian Export Quota Set
In global grain trade news, Russia has established its export quota from February 15 to June 30 at 10.6 MMT. This is a notable reduction compared to last year’s quota, which allowed for 29 MMT of grain exports.
Current Wheat Futures Prices
Mar 25 CBOT Wheat is priced at $5.35, marking an increase of 2 cents.
May 25 CBOT Wheat is at $5.45 1/4, up by 1 3/4 cents.
Mar 25 KCBT Wheat stands at $5.46 1/4, showing an increase of 3 cents.
May 25 KCBT Wheat is at $5.53 3/4, reflecting an increase of 2 3/4 cents.
Mar 25 MGEX Wheat is priced at $5.90 1/4, up by 3 1/2 cents.
May 25 MGEX Wheat is at $5.98, showing an increase of 3 1/2 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.
The views and opinions expressed herein are those of the author and do not necessarily reflect those of Nasdaq, Inc.
