Wheat futures rallied across major exchanges on Wednesday, with Chicago SRW rising by 2 ¾ to 5 cents, KC HRW increasing by up to 4 ¼ cents, and MPLS spring wheat gaining 5 to 6 ½ cents. This uptick comes ahead of Thursday’s Export Sales report, which is expected to show wheat sales between 300,000 to 550,000 metric tons for the week ending September 5.
Concerns about crop yields in Russia’s Kursk region due to ongoing conflict with Ukraine may add further volatility to the market. While the USDA is likely to keep wheat production data steady this month, analysts anticipate a slight reduction in U.S. ending stocks from 828 million bushels to 822 million bushels, and a global cut of 1.2 million metric tons in world ending stocks.
For market participants, the upcoming export data and geopolitical tensions could influence trading strategies, particularly in the context of supply-demand dynamics in the wheat sector.
Source: nasdaq.com