KC wheat is the leader to the upside this morning, on light volume and traders waiting to see if the cold weather has any effect on the HRW crop. Precipitation is expected to push through the Plains and W. Midwest today, but a drier pattern will move in the rest of the week, as temperatures slowly creep higher. Ukraine’s UkrAgroConsult reported that 28% of the winter grain crop is in good condition, but that’s down from 41% LY. The weather for the Black Sea wheat areas is expected to remain favorable, as rain and warm temperatures
keep the crop in good shape into dormancy. December deliveries totaled 2,343 CME contracts and 198 KC contracts. The market will now evaluate how this effects the cash markets on the front-end. The USD remains strong and the Russia/Turkey political issues will pressure grains to start the week, but look for wheat to attempt fight the wave and start off higher.
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