Wheat Market Sees Positive Momentum Amid Mixed Export Trends
On Monday, the wheat market experienced a rally, aligning with the overall upward movement in the grain sector. Chicago SRW futures surged by 12 to 14 ¼ cents, while KC HRW recorded gains of 9 to 11 cents. In addition, MPLS spring wheat futures ended the day up by 7 to 9 ¼ cents.
Weather Forecast Indicates Drier Conditions Ahead
The upcoming week is predicted to bring drier weather to many Plains HRW regions, although light precipitation is expected in SRW areas.
Export Inspections Decline Amid Yearly Growth
According to the latest Export Inspections report, total exports reached 288,895 MT (10.62 mbu) for the week ending January 9. This marks a 29.94% decrease from the previous week, but a notable 19.18% increase compared to the same week last year. The largest buyers included Mexico with 121,333 MT, followed by Japan with 53,938 MT and South Korea with 30,524 MT. Year-to-date exports stand at 13.01 MMT (478 mbu), representing a 24.97% increase over the same timeframe from last year.
Managed Money Positions Shift in Market
As of January 7, managed money speculators increased their net short position in Chicago wheat by 1,875 contracts, bringing their total to 88,637 contracts. Conversely, in the KC wheat market, they reduced their net short by 2,003 contracts, resulting in a remaining short position of 31,858 contracts.
Wheat Futures Close Higher
Here are the latest closing prices for wheat futures:
- Mar 25 CBOT Wheat: closed at $5.45, up 14 ¼ cents
- May 25 CBOT Wheat: closed at $5.56 ¾, up 13 ¼ cents
- Mar 25 KCBT Wheat: closed at $5.61, up 9 ¼ cents
- May 25 KCBT Wheat: closed at $5.70 ½, up 9 ¾ cents
- Mar 25 MGEX Wheat: closed at $5.93 ½, up 9 ¼ cents
- May 25 MGEX Wheat: closed at $6.01 ¼, up 8 ¾ 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.
