Due to the increase in the forecast of consumption of wheat in China, experts USDA lowered its assessment of the global ending stocks

Usually in the April balance on wheat experts USDA do not make sudden changes in the projections, because the harvest is already mostly assembled and consumption are calculated. But this year, traders are surprised by the sharp increase in the consumption of wheat China for another 5 million tonnes as a result of active use and fodder amid high domestic corn prices.

the Increase in global consumption of wheat will reduce ending stocks, however, if you do not take into account the data for China, in General, a new report is neutral.

Forecast world production wheat left at a record level 776,5 million tonnes (763,86 million tonnes in 2019/20 MG).

the score global consumption wheat increased by 5.1 million tonnes to 781,01 million tonnes (747,18 million tonnes in 2019/20 MG) due to the increased consumption of feed wheat to feed 5 million tons to a record 40 million tons (19 million tons in 2019/20 MG) and increase the total consumption of wheat in China to 150 million tonnes, Partly it is compensated by the reduction in the consumption of wheat in the EU by 1 million tons to 48 million tons.

Forecast world exports wheat increased by 1.22 million tonnes to 198,91 million tonnes (191,52 million tonnes in 2019/20 MG), in particular for Russia by 0.5 million tonnes to 39.5 million tons (34.5 million tons in 2019/20 MG), the EU and the UK – 0.5 million tons to 27.5 million tonnes (38.4 million tonnes in 2019/20 MG). For the United States and Ukraine export forecasts were left unchanged.

the score world ending stocks wheat decreased by 5.67 million tonnes to 295,52 million tonnes (300,04 million tonnes in 2019/20 MG), in particular for China by 5 million tonnes to 145,43 million tonnes (151,68 million tonnes in 2019/20 MG) and Russia by 0.5 million tonnes to 12.08 million tonnes (of 7.23 million tonnes).

the Reduction of consumption and ending stocks in the United States must submit a report of a bear, but a sharp decline in ending stocks in China and in the world has led to the speculative rise in prices on the stock exchange in Chicago.

the May futures rose:

• 3.68 $/t to 234,70 $/t for SRW soft winter-wheat in Chicago (was 241,22 $/t after the release of the report in March),
• 3.68 $/t to 215,32 $/t for solid winter HRW wheat in Kansas city (230,20 $/t),
• by 5.05 $/t to 240,30 $/t on a firm spring HRS wheat in Minneapolis (237,91 $/t).

Spring wheat continues to rise on forecasts of dry and cold weather in the regions of cultivation, which retains the North.