March Chgo Wheat closed 14 cents higher ($6.48 ½), May 13 cents higher ($6.49) & July 9 ¾ cents higher ($6.33 ¾)
March KC Wheat closed 14 cents higher ($6.27 ¼), May 14 cents higher ($6.31) & July 12 ½ cents higher ($6.29 ¼)
March Mpls Wheat closed 13 ½ cents higher ($6.26), May 13 ¼ cents higher ($6.34 ¾) & July 12 ½ cents higher ($6.39 ¾)
Weekly Wheat Export Inspections – 523.9 K T. vs. 200-400 K T. expected
Not to be left out of the fray today’s wheat trade mirrored what was going elsewhere in the CBOT Ag trade. Sunday saw a two-sided trade followed by Monday’s trade being higher all morning. Weekly export inspections were some of the best we’ve seen over the past number of weeks. The hope is that the US will see better export prospects given the idea no one will want to pay up for Russian origin (I’m not real big on “hoping”). Last week it was reported that Turkey bought up to 400 K T. of wheat. Over the weekend That figure was pared down to less than 100.0 K T. as too high prices were cited. Today Algeria announced another tender.
Interior cash wheat prices remain quiet as do their respective export prices. Bull spreads were working in all three varieties especially old crop vs. the new crop.
As far as I’m concerned the lows we saw today represented some good looking technical support for Chgo futures. KC futures could have moved closer to the $6.00 to realize similar support. The $6.60 level for March Chgo represents the first level of resistance. $6.40 is that same level for March KC. Going forward I’m not sure US wheat futures have enough going for themselves to divorce away from the goings on elsewhere in the US Ag complex.
Daily & Resistance – 01/26
March Chgo Wheat : $6.38 – $6.58
March KC Wheat: $6.15 – $6.35
The risk of trading futures and options can be substantial. Each investor must consider whether this is a suitable investment. Past performance is not indicative of future results.