JAKARTA: Chicago wheat extended losses to the third consecutive session on Thursday, as ample global supplies weighed down on the market sentiment.
Large crops in Russia and Ukraine are expected to boost wheat exports from the Black Sea region, while Australia’s crop is likely to be well above average. Germany’s winter wheat harvest expected to rise by 26.3 percent this year to 22.45 million metric tons, the German agriculture ministry said on Wednesday.
“The market has come under pressure as a result of supplies. Grain production in general around the world has produced a decent crop with very few material supply issues around the world,” said Andrew Whitelaw, co-founder at agricultural consultants Episode 3 in Canberra.
The most-active wheat contract lost 0.29 percent at USD5.2-1/2 a bushel, as of 0248 GMT. Spot basis bids for soybeans and corn were steady to mixed at processing plants and grain elevators in the US Midwest on Wednesday, as grain buyers prepare for harvest and farmers look to clear out their grain bins.
A farmer survey conducted by agricultural commodity brokerage and analysis firm Allendale forecast the US 2025 corn crop at a record 16.631 billion bushels, with an average yield of 187.52 bushels per acre, the company said on Wednesday.
Corn was up 0.06percent at USD4.18-1/4 a bushel and traded in a tight range between USD4.17 to USD4.19 a bushel. Brazil’s soybean planted area is expected to grow by just 1.5 percent in the 2025/26 season, Rabobank said in a report on Wednesday, calling the expansion “limited” and noting it lags the historical average of 3.5 percent. Soybeans gained 0.07 percent to USD10.32-1/4 a bushel while traded in tight range between USD10.3 to USD10.33 a bushel.
Commodity funds were net sellers of Chicago Board of Trade corn, wheat, soybean, soymeal and soyoil futures contracts on Wednesday, traders said.