Wheat in Chicago is rapidly becoming cheaper
the July USDA report did not meet expectations of market participants and made a "bearish" pressure on the exchange, so on Thursday falling of quotations has proceeded.
Increased pressure on prices, the fall of neighbouring markets of corn and soybeans.
the Weekly export sales were at the low end of expert's expectations. Sales fell spring wheat, to assess the production of which is now the lowest in many years, and quotes for a month already soaring.
the September wheat futures in the U.S. fell:
- by 9.28 $/t to 188,03 $/t for SRW soft winter-wheat in Chicago
- by 10.47 $/t to 189,41 $/t for solid winter HRW wheat in Kansas city
- of 12.22 $/t to 275,39 $/t on a firm spring HRS wheat in Minneapolis.
USDA's estimate regarding the production and export of wheat of black sea origin in 2017/18 MG also changed. For Ukraine, the crop forecast reduced 1 million tons to 24 million tons, and exports 0.5 million tons to 14 million tons For Russia's crop forecast is increased by 3 million tons to 72 million tons, and exports – by 1.5 million tons to a record high of 30.5 million tons.
wheat Prices In Ukraine and Russia increased significantly in the U.S., so a significant drop is not expected.