Dec Chgo Wheat closes 8 ½ cents lower ($4.06 ¾), March 7 ½ cents lower ($4.24 ½) and July 7 ½ cents lower ($4.55 ¾)
Dec KC Wheat closes 7 ¼ cents lower ($4.10 ¼), March 7 ¼ cents lower ($4.27 ¾) and July 8 cents lower ($4.50 ¾)
Highlights of the USDA Wheat Supply-Demand Report – US – domestic usage cut by 5 Million bu. – carryout increases by 5 Million bu. – World – projected carryout increases by 860 K T.
Weekly Wheat Export Sales – old crop vs. 300500 K T. expected – new crop vs. 0-50 K T. expected
Within the Ag complex the wheat market had the least amount of bearish data thrown at them by the USDA. That in turn allowed for some intermarket spreading that gave the wheat market some left-handed support. the bottom line remains that the US wheat markets continue to be trading range affairs.
The interior cash wheat markets continue to be quiet. Export markets are slipping as well. Earlier in today’s session the Dec/March Chgo spread traded into its best level dating back to late may but failed to sustain the rally. KC spreads don’t do much as they hover just above contract lows.
I’m getting tired of saying trading range but it is still most appropriate.
Daily Support & Resistance Dec Chgo Wheat: $4.03 ($3.98) – $4.16 Dec KC Wheat: $4.05 ($4.01) – $4.18
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