Wheat Report, 04/18/2016

Monday, April 18, 2016

The wheat market is off to a firmer start to the week, due to short covering following a large increase to the fund short by the CFTC, even though good rains did move through over the weekend. Friday’s CFTC COT report showed funds added about 45k contracts to the net short through 4/12, while daily estimates only expected 11k contracts added. Extended forecasts following the weekend rains are drier through the 6-10 day range for much of the S. Plains, but maps show better chances again 2 weeks out. Cash markets are firmer with mills attempting to cover nearby needs, as well as, make a plan for the new crop needs. The MGX/KC spread has narrowed a couple cents over the last few sessions, but current levels still should see high protein HRW replacing HRS in grinds. Look for wheat to trade slightly high on fund buying and support from stronger soybeans, but fundamentals are little changed for wheat.

Unless otherwise noted, the posts on this blog should be construed as market commentary, merely observing economic, political and/or market conditions, and not intended to refer to any particular trading strategy, promotional element or quality of service provided by INTL FCStone Inc. or its subsidiaries. INTL FCStone Inc. is not responsible for any trading decisions taken by persons viewing this material. Information contained herein was obtained from sources believed to be reliable, but is not guaranteed as to its accuracy. These materials represent the opinions and viewpoints of the author, and do not necessarily reflect the viewpoints and trading strategies employed by INTL FCStone Inc. or its subsidiaries. Reproduction without authorization is prohibited. All rights reserved.

Market Intelligence Free Trial

Meet the Team

Kansas City, MO
1251 NW Briarcliff Parkway
Suite 800
Kansas City, MO 64116
Tel:+1 (816) 410-5079



Our privacy policy has changed. View our privacy policy to learn more.