Wheat Market Sees Continued Decline Amid Recent Developments

The wheat market is showing continued weakness this Friday, with prices dropping across all three exchanges. At midday, Chicago SRW futures have decreased by 1 to 2 cents. Today marks the first notice day for March futures, with a total of 466 deliveries reported overnight. KC HRW futures are experiencing a loss of 7 to 10 cents, with 314 deliveries issued against March KC wheat on this first notice day. In contrast, MPLS spring wheat has risen by 2 cents for the nearby March contract, while other contracts are showing lower values.

Looking ahead, precipitation is expected to move into the eastern regions of the Plains over the coming week, and the SRW area anticipates more widespread wet conditions.

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In trade news, President Trump’s proposed 25% tariffs on Mexico and Canada are still scheduled to take effect on March 4, following some ongoing discussions this week.

The latest export sales data indicates total export commitments stand at 20.144 MMT for the marketing year, which represents 87% of the USDA’s export forecast. This figure is below the 95% average sales pace. Meanwhile, actual shipments have reached 14.969 MMT, equating to 64% of the USDA’s estimate and trailing behind the 71% average shipping pace.

In France, FranceAgriMer estimates the soft wheat crop condition at 73% good/excellent, down from 74% last week. Additionally, the durum wheat crop has also seen a decrease, now estimated at 82% good/excellent, down by 1%.

Mar 25 CBOT Wheat is priced at $5.45 3/4, reflecting a decrease of 1 cent.

May 25 CBOT Wheat is at $5.60 1/2, down 2 cents.

Mar 25 KCBT Wheat is priced at $5.63 1/2, down 7 3/4 cents.

May 25 KCBT Wheat is at $5.75 3/4, down 9 1/2 cents.

Mar 25 MGEX Wheat is at $5.89, up 2 cents.

May 25 MGEX Wheat is priced at $6.00 1/4, down 4 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 are solely for informational purposes. For more information, please view the Barchart Disclosure Policy here.

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