CHICAGO: Chicago Board of Trade wheat futures closed higher on Friday on technical buying and short-covering after most months fell to life-of-contract lows, traders said.
* Plentiful US and global wheat supplies continued to hang over the market, capping relief rallies.
* CBOT May soft red winter wheat settled up 1-1/4 cents at $4.39-1/2 per bushel after falling to $4.34-1/4, a contract low and the lowest price for a most-active month since January 2018.
* K.C. May hard red winter wheat ended 3-1/4 cents higher at $4.30-3/4 a bushel while MGEX May spring wheat fell 3-3/4 cents at $5.49-1/4.
* Most K.C. wheat futures months and deferred MGEX spring wheat months set contract lows.
* The US Department of Agriculture in its monthly supply/demand report raised its forecast of US wheat stocks at the end of the 2018/19 marketing year to 1.055 billion bushels, from 1.010 billion last month.
* The USDA lowered its forecast of US 2018/19 wheat exports to 965 million bushels, from its February forecast of 1.0 billion bushels.
* "Bigger wheat crops out of Australia and Russia are going to cut into our exports, so USDA was certainly justified in lowering US exports. And there may be more cuts to come," said Brian Hoops, president of Midwest Marketing Solutions.
* Algeria's state grains agency OAIC purchased around 300,000 tonnes of durum wheat in a tender, much of which was likely to be sourced from Canada with some possibly from the United States, European traders said.
* The CBOT reported 41 deliveries against the March soft red winter wheat contract and five deliveries against K.C. March hard red winter wheat. The MGEX reported zero March spring wheat deliveries.
Comments
Comments are closed for this article.