All three markets saw weekly gains last week, due to continued dry weather patterns and freeze damage in S. America. CFTC showed the net short in CBOT wheat increased by 4k contracts more than daily estimates showed, moving the position to 132k contracts short on 11/15. Temperatures dipped below freezing in Buenos Aries, Argentina the end of last week, and it caused damage to the crop, up to 5% estimated, but the extent will be more visible later this week. NOAA released 90-day maps on Friday that show warm and dry conditions continue for the S. Plains, so the winter wheat crop will go into dormancy under dry conditions. Rain moving through the Midwest this week will miss most of the HRW areas that need it. Outside markets will be on the side of grain strength, with USD 300 lower, Crude Oil 1120 higher and equities positive. Wheat should see carryover support from weather concerns in the U.S. and S.A., as well as benefit from global oilseed market strength.
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