Wheat futures in Chicago rose for the third day in a row yesterday, with technical purchases and strong gains in the soybean and corn complex boosting prices. The USDA quarterly report is also having an impact, with wheat and corn acreage being smaller than analysts expected. The price increase was limited by the advancing US winter wheat harvest. Institutional investors bought 6,500 contracts of CBoT SRW wheat yesterday. Today at 2:30 p.m., the USDA publishes weekly US export sales. Analysts expect wheat exports to range between 250,000 and 600,000 tons. At the moment, the eCBoT is trading with moderate losses. Wheat futures also increased at Euronext in Paris. The relatively small purchase of wheat in Algeria was a surprise. Algeria is believed to have bought around 300,000 tons of ground wheat in its tender, which closed on Tuesday. While this was more than initially expected, it is below the typical monthly demand in Algeria. According to analysts, the estimated price of $ 217 - $ 218 / ton c & f is too low for wheat from France and suggests that the wheat could be delivered from the Baltic States.
Source
Hansa Terminhandel GmbH
