Wheat Market Declines as Strong Dollar Pressures Prices
Wheat Futures Drop Amid Strong Dollar Influence
The wheat complex saw declines across the three main exchanges on Tuesday, continuing to feel the impact of a strengthening dollar. Chicago SRW futures dropped by 12 1/2 to 13 3/4 cents. Similarly, KC HRW contracts experienced losses ranging from 9 3/4 to 13 cents. MPLS spring wheat prices fell between 11 and 14 1/4 cents.
According to the Weekly Crop Progress data released, 91% of winter wheat had been planted as of November 10. Emergence rates stood at 76%, which is 2 to 3 percentage points above the average. Additionally, condition ratings improved by 3% with 44% of the crop categorized as good to excellent. The Brugler500 index increased by 10 points, reaching a total of 326.
The Export Inspections report revealed that 347,321 MT (12.76 million bushels) of wheat were shipped in the week ending November 7. This marks a significant 68.8% increase from the previous week and is 41.9% higher than the same week in the prior year. Notably, 84,061 MT went to South Korea, while 57,655 MT were sent to the Philippines. Year-to-date shipments have reached 10.11 MMT (371.5 million bushels), representing a 28.8% increase compared to the same time last year.
Meanwhile, Japan is looking for 114,403 MT of wheat in their weekly tender, sourced from Australia, Canada, and the US, with 58,046 MT specifically from the United States. Additionally, the French Farm Ministry estimates the soft wheat crop in France to be 25.56 MMT, reflecting a slight increase of 0.13 MMT from last month.
Dec 24 CBOT Wheat closed at $5.52 1/4, down 13 1/4 cents.
Mar 25 CBOT Wheat closed at $5.67, down 13 1/2 cents.
Dec 24 KCBT Wheat closed at $5.46 1/2, down 13 cents.
Mar 25 KCBT Wheat closed at $5.60 3/4, down 12 1/4 cents.
Dec 24 MGEX Wheat closed at $5.77 3/4, down 14 1/4 cents.
Mar 25 MGEX Wheat closed at $6.00 1/2, down 11 3/4 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 the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
