US wheat futures closed higher on Tuesday, tracking a broad rally in commodities as the dollar softened, traders said. Grains also drew support from US stock markets, which staged an Election Day rally. The Dow Jones industrial average rose more than 3 percent amid optimism about the presidential election.
Values settled well below session highs on profit taking and sluggish export demand for US wheat amid ample global supplies. At the Chicago Board of Trade, December soft red winter wheat settled up 10-1/2 cents at $5.72-1/2 per bushel; March up 10-3/4 at $5.93-1/4. Funds were net buyers of 2,000 CBOT wheat contracts.
At the Kansas City Board of Trade, December hard red winter wheat closed up 11-1/4 cents at $6.09 a bushel; March up 10-3/4 at $6.25-1/4. At the Minneapolis Grain Exchange, December spring wheat ended up 2-3/4 cents at $6.68 a bushel; March up 7-1/2 at $6.61-3/4. Inverted MGE December/March spread eased, trading last at 6-1/2 cents, premium December. Light commercial selling was noted, traders said.
CBOT wheat volume was estimated at 58,328 futures and 9,812 options. KCBT wheat volume was estimated at 10,230 futures. MGE at 4,374 futures. Wheat export sales have slowed lately due to cheaper supplies in Europe and the Black Sea. Iraq bought 200,000 tonnes of wheat from east Europe and Australia. Cuba signed with Canadian Wheat Board to buy 150,000 tonnes of wheat in 2009.
Taiwan was tendering overnight for regular shipment of US wheat. USDA late Monday said 90 percent of the US winter wheat crop was planted as of Sunday, behind the five-year average of 92 percent. The crop was 76 percent emerged. USDA said 67 percent of the crop was rated in good to excellent condition, up from 65 percent a week earlier.
Comments
Comments are closed.