US wheat futures closed lower on Tuesday, with Chicago Board of Trade prices falling to fresh one-year lows on technical selling and pressure from an expected record-large global wheat crop, traders said. At the CBOT, September soft red winter wheat fell 11-1/4 cents to settle at $7.11-1/2 per bushel after touching $7.00, the lowest spot price since August 2007.
Most-active December fell 13-1/4 cents to end at $7.30-1/2. Commodity funds were net sellers of 3,000 contracts, traders said. At the Kansas City Board of Trade, September hard red winter wheat settled 8-3/4 cents lower at $7.54 per bushel, with December down 12-3/4 at $7.72.
At the Minneapolis Grain Exchange, September spring wheat ended down 13 cents at $7.90, with December down 7-3/4 at $7.99-1/4. MGE traders noted commercial demand for spring wheat near the day's lows. CBOT wheat volume estimated at 69,661 futures and 20,540 options. KCBT wheat volume estimated at 12,656 futures; MGE at 6,084 futures. CBOT sell-off triggers fresh export interest, as Egypt issued a snap tender for 55,000-60,000 tonnes of wheat; results expected Wednesday.
Egypt, Tunisia reject Ukrainian wheat shipments on poor quality, prompting suppliers to switch to French wheat -trade. Trade awaits release on Wednesday of updated Statistics Canada grain stocks estimates. Australian wheat, currently in the late jointing to early reproductive phase, should greatly benefit from recent rainfall. EU wheat hits 14-month low amid commodities sell-off. USDA said US spring wheat harvest was 87 percent done by Sunday, near the five-year average of 90 percent.
USDA showed winter wheat seedbed preparation in Oklahoma at 70 percent finished. Drier weather favours remaining US spring wheat harvest, while recent showers help replenish soil moisture in Central Plains winter wheat belt. Japan seeks 107,000 tonnes US wheat. Syria in talks with Bulgaria to buy 50,000 T milling wheat - trade. Deliveries on CBOT September futures contract at 540 lots.