Wheat Market Declines as Contracts Approach Previous Lows

Futures Prices Drop Ahead of USDA Report

The wheat market is seeing several contracts nearing their lows from August as midday trading reveals a downward trend. Chicago SRW futures are down by 7 to 10 cents across most contracts. Meanwhile, KC HRW contracts are experiencing losses between 6 and 7 cents in the nearby months. MPLS spring wheat remains steady but shows losses of up to 5 cents.

USDA Report Predicted to Show Steady Export Sales

The USDA is set to release its weekly Export Sales report on Friday morning. Analysts anticipate wheat sales for the 2024/25 marketing year to range from 250,000 to 550,000 metric tons. For the 2025/26 marketing year, sales are expected to be between 0 and 50,000 metric tons.

Japan’s Recent Wheat Purchases

Japan has purchased a total of 114,403 metric tons of wheat from its regular suppliers: Australia, Canada, and the United States, with 58,046 metric tons sourced specifically from the U.S.

EU and Russian Wheat Crop Estimates Reveal Mixed Outcomes

Strategie Grains reports a forecasted 5% increase in EU wheat acreage for the upcoming growing season. However, they caution that a difficult start to planting may result in production levels remaining close to last year’s total of 114.4 million metric tons. On the other hand, SovEcon has revised its estimates for last year’s Russian wheat crop, reporting it at 51.4 million metric tons, reflecting a slight decrease of 0.1 million metric tons from previous estimates. They project a brighter outlook for the 2025 crop, increasing expected output by 1.5 million metric tons to 81.6 million metric tons.

Current Wheat Futures Prices

Dec 24 CBOT Wheat is at $5.31 1/4, down 9 3/4 cents.

Mar 25 CBOT Wheat is at $5.48 3/4, down 7 3/4 cents.

Dec 24 KCBT Wheat is at $5.34 1/2, down 6 1/4 cents.

Mar 25 KCBT Wheat is at $5.48, down 6 3/4 cents.

Dec 24 MGEX Wheat is at $5.69 1/4, down 1 3/4 cents.

Mar 25 MGEX Wheat is at $5.88 3/4, 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 is solely for informational purposes. For more information, please view the Barchart Disclosure Policy.

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