Wheat Futures Trade Mixed as USDA Reports Strong Export Sales

Wheat Contracts Struggle Amid Market Fluctuations

Wheat futures experienced a mixed trading session on Friday morning, with some contracts remaining flat while others dipped. Unlike the rest of the grain market, the wheat sector did not rebound on Thursday and reached new lows. Chicago SRW futures saw a decline of 8 ¼ cents, particularly affecting the front months. Similarly, KC HRW contracts dropped by 2 to 5 ¾ cents. Interestingly, preliminary open interest indicated an increase of 4,133 contracts in KC and 12,596 contracts in Chicago. Meanwhile, MPLS spring wheat futures closed lower, falling between 1 ½ to 5 ¼ cents.

USDA Export Sales Report Indicates Demand Growth

On Thursday morning, the USDA released its Export Sales data, revealing that wheat exports totaled 457,933 metric tons for the week ending December 12. This figure marked a four-week high and fell within the trade’s expectations of 225,000 MT to 550,000 MT. Among the major buyers were the Philippines, which purchased 83,000 MT, and Venezuela, which received 80,800 MT.

International Transactions and Future Crop Estimates

In a notable transaction, South Korea purchased 86,800 MT of wheat from the United States overnight. Looking ahead, Strategie Grains forecasted the US wheat crop at 126.6 million metric tons for the 2025/26 season, which represents an increase of 12.4 million metric tons from the previous year. Additionally, Russia announced an export quota of 10.6 million metric tons for the period from February 15 to June 30.

Current Wheat Prices

As of the last trading session:

Mar 25 CBOT Wheat closed at $5.33, down 8 ¼ cents, and is currently down 1 cent.

May 25 CBOT Wheat closed at $5.43 ½, also down 8 ¼ cents, currently down ¾ cent.

Mar 25 KCBT Wheat settled at $5.43 ¼, down 5 ½ cents, but is currently up ¾ cent.

May 25 KCBT Wheat ended at $5.51, down 5 ¾ cents, currently up 1 cent.

Mar 25 MGEX Wheat concluded at $5.86 ¾, down 5 ¼ cents, now up 4 cents.

May 25 MGEX Wheat wrapped up at $5.94 ½, down 4 ¾ cents, currently up 4 ½ 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.

The views and opinions expressed herein are those of the author and do not necessarily reflect those of Nasdaq, Inc.