December Chgo Wheat closed ¾ cent higher ($7.13), March ¼ cent higher ($7.24) & May ¼ cent lower ($7.27 ½)
December KC Wheat closed 4 ½ cents higher ($7.20 ½), March 4 ¾ cents higher ($7.29 ¼) & May 5 cents higher ($7.33 ¾)
December Mpls Wheat closed 1 ¾ cents higher ($9.06 ½), March ½ cent higher ($8.94) & May ¼ cent higher ($8.82 ¼)
Weekly Wheat Export Sales – 617.1 K T. old crop vs. 300-700 K T. expected – no new crop vs. none expected
Weekly export sales were the best of the season to date. Unfortunately almost half of those sales were announced through the daily reporting system; 327.3 K T. sold to Nigeria back on Tuesday, the 7th. The flat price managed to eke out small gains led by the KC market as that is where the majority of the sales occurred. Strength in the US dollar acted as resistance for the 4-day rally. IKAR, a Russian ag consulting agency suggest the Russian wheat crop is now 74-75 M T. that is still not as low as the USDA at 72.5 M T.
Since last Friday’s low December KC wheat has rallied 50 cents, Dec Chgo just 35 cents and Dec Mpls 46 cents. I would like to think it’s time for a couple of days of some backing and filling; 15-20 cents. I’m not bearish but I know chasing wheat rallies of this magnitude can be very frustrating.
Daily Support & Resistance – 09/17
Dec Chgo Wheat: $7.05 – $7.20
Dec KC Wheat: $7.10 – $7.30
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