Wheat wasn’t going to be left out of the party yesterday, gaining 1-7 cents across the three contracts, as funds covered about 5k contracts of the short position. Strength was driven by the soybean complex, which was taking its cues from the gains in the world palm oil market. The U.S. market found support from the higher prices that traded in the Egypt tender this week, although we are overpriced with the flat price rally and the strength in the USD. Argentina wheat areas should dry out and reduce concerns of excess wetness, while S. Brazil remains wet for a few more days. Weekly export sales improved to 646 TMT, above the 350-550 TMT estimates, and 17/18 sales totaled 26 TMT. Spring wheat sales picked up last week and led the market with 309 TMT, followed by WW and HRW at 152 TMT and 119 TMT, respectively. Look for a quiet restart this morning, as overnight strength through early waned into the break.
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