Wheat Futures See Gains Amid Mixed Crop Conditions

Wheat futures experienced a notable boost on Monday, marking a strong start to the trading week. Chicago SRW futures closed up 7 to 8 cents, while Kansas City HRW contracts posted marginal increases of 1 to 3 cents in nearbys at the end of the session. Additionally, MPLS spring wheat rose by 8 to 10 cents across most contracts.

Crop Progress Report Indicates Challenges Ahead

The initial NASS Crop Progress report for the year revealed that 5% of the winter wheat crop is currently headed, consistent with the 5-year average. However, condition ratings were reported at 48% good/excellent, equating to 328 on the Brugler500 index (which uses a 100-500 point scale). This shows a decline compared to last year’s ratings of 56% good/excellent and a Brugler index score of 348 at this time. Furthermore, this marks a decrease from the final fall assessment of 55% and 348 respectively.

Spring Wheat Planting Progressing as Forecast Offers Mixed Signals

As of Sunday, spring wheat planting was reported at 3% complete, aligning with last year’s pace and the 5-year average. Following recent flooding in parts of SRW-growing regions, the 7-day weather forecast predicts generally dry conditions for much of the nation, save for certain areas on the East Coast and in the Eastern Corn Belt (ECB).

Export Inspections Reflect Decreased Wheat Shipments

Data from Export Inspections revealed that 334,888 metric tons (12.3 million bushels) of wheat were shipped for the week ending April 3. This figure marked a 33.12% decrease from the previous week and a 35.2% decline from the same week in the prior year. The largest shipments went to Mexico, totaling 76,161 MT, followed by Japan at 60,797 MT, and the Philippines at 56,400 MT. Since June 1, marketing year exports aggregate to 17.69 million metric tons (650 million bushels), reflecting a 15.1% increase over the same timeframe last year.

Closing Prices for Wheat Futures

May 25 CBOT Wheat closed at $5.36 1/2, up 7 1/2 cents.

Jul 25 CBOT Wheat closed at $5.50 1/2, up 7 3/4 cents.

May 25 KCBT Wheat closed at $5.59 1/4, up 1 3/4 cents.

Jul 25 KCBT Wheat closed at $5.72 3/4, up 2 3/4 cents.

May 25 MGEX Wheat closed at $5.94, up 9 1/2 cents.

Jul 25 MGEX Wheat closed at $6.08 1/4, up 8 1/2 cents.

On the date of publication, Austin Schroeder did not hold (either directly or indirectly) positions in any of the securities mentioned in this article. All data provided within this article is solely for informational purposes. For further details, please refer to the Barchart Disclosure Policy here.

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