Wheat prices in the US are growing in anticipation of frost
in the Eve of new year holidays investors have started to close short positions in the wheat markets in the USA. The market was supported by news from forecasters, who, instead of moderate cold forecast for the weekend extreme cold that can significantly impair bad the snow-covered crops.
Weekly US exports in comparison with previous week decreased by 21% and amounted to 493,55 thousand tons, which is by 8.71% to the exports in the corresponding period last year.
since the beginning of the season from the United States exported 14,23 million tons of wheat, that is by 5,96% less than in 2016/17 MG.
Prices supported the increase of China's November imports of wheat to 155,8 thousand tons, which is significantly higher than in the same period last year, and the increase of Japan import of wheat in 2017, by 30% to 4,155 million tons.
March U.S. wheat futures rose:
2.02 $/t to 156,34 $/t for solid winter HRW wheat in Kansas city.
3.77 $/t to 228,27 $/t on a firm spring HRS wheat in Minneapolis.
- 2.11 $/t to 157,26 $/t for SRW soft winter-wheat in Chicago
At yesterday's tender, the Egyptian GASC bought 180 TMT of Russian wheat for delivery in February. Among the 9 demands only one was for the supply of Romanian wheat, and all other proposed Russian grain.
Winter is usually Russia reduces exports, but this December, the country exported a record 5 million tonnes of wheat. Increased competition from Russia reduces the attractiveness of Ukrainian grain, for which traders have lowered by 2-3 $/t, the demand price for deliveries in January and February compared to December proposals.
currently in the port for the domestic wheat offer:
protein 11,5% 5450-5500 UAH/t or 168 and 169 $/t,
forage 5350-5450 UAH/t or 165-168 $/t
- protein 12,5% 5500-5600 UAH/t 173-175 or $/t,