Wheat Market Shows Mixed Performance with Export Sales on the Rise
Wheat Prices Fluctuate Across Exchanges
On Monday morning, wheat prices are gaining ground across the three major exchanges. Last Friday, the wheat market showed mixed performance. Chicago SRW futures saw slight declines, with December contracts dropping by 4 1/4 cents, while March futures rose by 9 ¼ cents. There were five delivery notices issued against December Chicago wheat on Friday evening. In contrast, KC HRW contracts increased by 1 to 1 3/4 cents, and March contracts experienced a 13 cent rise since Friday. Meanwhile, MPLS spring wheat prices remained steady but closed 2 ½ cents lower, although March wheat is still up 4 ¾ cents for the week.
Commitment of Traders Report Reflects Increased Short Positions
The latest Commitment of Traders report from the Commodity Futures Trading Commission (CFTC) indicated that speculators increased their net short positions in Chicago Board of Trade (CBT) wheat by 10,268 contracts, bringing the total to 69,386 contracts as of December 3. Similarly, in KC wheat, short positions rose by 7,769 contracts, totaling 38,430 contracts.
Wheat Export Sales Surge Compared to Last Year
The Export Sales data released last Thursday reported a 33% increase in wheat and product shipments year-over-year at 10.844 million metric tons (MMT). This figure represents 48% of the U.S. Department of Agriculture’s (USDA) projected total for the marketing year, which is slightly behind the 50% average pace. Total commitments now stand at 15.698 MMT, marking a 20% increase over last year and 70% of the USDA target, just short of the typical 73% pace.
European and Ukrainian Wheat Planting Update
In Europe, France’s soft wheat crop is now 96% planted, up from 93% the previous week and significantly better than the 87% reported last year. Currently, 86% of the crop is rated in good or excellent condition, down 1% from last week but an improvement from 77% a year ago.
According to Argus Media, the Ukrainian wheat crop is expected to increase by 1.3 MMT to 23.7 MMT in 2025, with Russia’s estimate at 81.5 MMT, a slight bump of 0.2 MMT compared to last year. Additionally, Russia plans to raise its export tariff on wheat starting December 11, increasing it to $48.57 per metric ton, which is a 32% hike from the previous week.
Wheat Futures Prices Overview
As of the latest updates:
- Dec 24 CBOT Wheat closed at $5.42 1/2, down 4 1/4 cents, currently unchanged.
- Mar 25 CBOT Wheat closed at $5.57 1/4, down 1 cent, currently up 6 cents.
- Dec 24 KCBT Wheat closed at $5.37 1/4, up 1 1/4 cents, currently unchanged.
- Mar 25 KCBT Wheat closed at $5.53 3/4, up 1 1/4 cents, currently up 5 1/4 cents.
- Dec 24 MGEX Wheat closed at $5.68 1/2, unchanged, currently unchanged.
- Mar 25 MGEX Wheat closed at $5.96 1/2, down 2 cents, currently up 4 1/4 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 are solely for informational purposes. For more information, please view the Barchart Disclosure Policy here.
More news from Barchart
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
