All three wheat markets closed higher to end the week, as precipitation chances declined for the near-term forecast of the Plains. Funds are estimated to have liquated about 4k contracts of the CBOT short position due to growing condition concerns. The CFTC report showed a mostly steady week ending Apr. 5, with Chicago and KC both showing a net short decline of 1k contracts. Cash markets have not seen much basis improvement on the decline in futures, with most needs covered and ideas that there will be plenty of stocks to cover deferred demand. U.S. wheat was the lowest offer in Iraq’s 50 TMT tender that closed this weekend at $238/MT C&F, beating offers from Australia and Canada. Weekend rains materialized for OK and some of S. KS, and there are above normal chances through the 6-10 day range. Look for wheat to be under pressure following the weekend rain, as traders see rain in the forecast and grain in the pipeline.
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