December Chgo Wheat closed 3 ½ cents higher ($7.85 ½), March 3 ½ cents higher ($7.88 ¾) & May 3 ½ cents higher ($7.94 ¼)
December KC Wheat closed 7 cents higher ($8.08 ½), March 7 cents higher ($8.12 ½) & May 6 ¾ cents higher ($8.13 ½)
December Mpls Wheat closed 2 cents lower ($10.37 ¼), March 4 cents lower ($10.17 ¾) & May 3 ¼ cents lower ($10.08 ¼)
Weekly Wheat Export Inspections – 245.0 K T. vs. 150-400 K T. expected
Weekly wheat export inspections were no big deal. It seems Friday’s performance (technical price reversal) has developed some renewed interest in owning wheat on a global scale. Algeria has announced interest as has Turkey. Overseas prices were firmer in response to these tender announcements.
Interior cash wheat markets here in the US remain quiet yet steady. This holds true for the export values as well. Spreads ran steady in Chgo while old crop gained fractionally on the new crop. Spreads in KC tightened in response to the flat price buying.
I would like to think that last Friday’s price action set the interim low; the culmination of the recent price correction. I don’t think the flat price is going to become a moon shot higher overnight but challenges of recently established resistance levels are well within reason.
Daily Support & Resistance – 12/14
March Chgo Wheat: $7.80 – $8.05
March KC Wheat: $8.00 – $8.25
The risk of trading and options can be substantial. Each investor must consider whether this is a suitable investment. Past performance is not indicative of future results.