Profit-taking after five sessions in a row with spreads let the wheat futures close with moderate losses in Chicago yesterday in the front months. Taiwan's Flour Millers Association yesterday launched a wheat tender for 88,635 tons of wheat from the United States. We are looking for different qualities for delivery in December and January. At 2:30 p.m. today, the USDA publishes its weekly US export sales. Analysts expect wheat exports to range between 200,000 and 800,000 tons. Institutional investors sold 500 contracts of CBoT SRW wheat yesterday.
This morning the e-CBoT is trading with further losses.
Wheat futures on Euronext Paris failed to hold gains at the start of the session and ended the trading day inconsistently. The dry weather conditions in several important exporting countries including Russia as well as the expectation that wheat from the EU will have a good chance in Algeria's tendering provided support. In addition, the strong Chinese demand ensures a stable environment. Institutional investors on Euronext moderately reduced their holdings of net long positions on wheat futures and options last week.
Source
Hansa Terminhandel GmbH
