JUNE 20 – WHEAT PRICES POP 2% AS MARKETS LOOK FOR A BOTTOM
Wheat prices recovered Wednesday as buyers snapped up contracts in an oversold market and are now looking to profit from a rebound in sentiment. The day was dominated by wheat’s more than 2% gains as corn prices and soybean prices were up marginally.
It’s difficult to say that prices have reached a bottom in the wake of President Trump’s ongoing tariff tantrum. With that in mind, let’s take a look at grain prices at the Chicago Board of Trade.
Wheat Prices Pop 2% in Chicago
In Chicago, July wheat prices added 10.5 cents to end the day a tick above $4.88. The September contract added 9.75 cents to end the day just above $4.99.
Down in Kansas City, HRW prices saw gains, though they weren’t as robust as their rival contracts in Chicago. The July HRW contract added 5.75 cents to close just under $4.89. The spread between Chicago and KC July contracts is now less than a penny.
Ongoing rain across portions of Kansas will likely delay harvesting in the state until next week.
Markets are preparing for tomorrow’s weekly export sales report from the USDA. The analysts’ range for new wheat crop sales ranges between 200,000 MT and 500,000 MT.
The September contract in KC gained 6.75 cents to close a tick under $5.06 per bushel.
Up in Minneapolis, July spring wheat prices added 3.25 cents to close just under $5.53. The September spring wheat contract added 2.75 cents to end the day above $5.63.