US wheat futures are slightly lower this morning despite global supply worries keeping the grain near a nine-year high.
Corn is falling as the United States plans to tap into emergency supplies. Soybeans are currently trading almost unchanged. .
Traders said wheat is under pressure from corn but market fundamentals remain bullish.
"There are concerns about shipments around the world, and the US Department of Agriculture's condition report only exacerbated them," said a Melbourne grain trader who refused to be identified because he has no legal authority to talk to the media speak.
According to the USDA, 44% of the US winter wheat crop is in good to excellent condition. Analysts, on average, had expected the USDA to rate 46% of the crop in good to excellent condition, unchanged from a week earlier.
Shipments from Russia, the world's largest exporter, are down 34% this season due to a smaller harvest and rising export taxes.
Heavy rains stalled harvests in Australia and threatened crop quality, while floods in western Canada have disrupted exports.
Both the corn and soybean harvests were 95% complete on November 21, 1 percentage point below the average of estimates from a Reuters poll of 11 market analysts.
Corn is falling as the United States plans to tap into emergency supplies. Soybeans are currently trading almost unchanged. .
Traders said wheat is under pressure from corn but market fundamentals remain bullish.
"There are concerns about shipments around the world, and the US Department of Agriculture's condition report only exacerbated them," said a Melbourne grain trader who refused to be identified because he has no legal authority to talk to the media speak.
According to the USDA, 44% of the US winter wheat crop is in good to excellent condition. Analysts, on average, had expected the USDA to rate 46% of the crop in good to excellent condition, unchanged from a week earlier.
Shipments from Russia, the world's largest exporter, are down 34% this season due to a smaller harvest and rising export taxes.
Heavy rains stalled harvests in Australia and threatened crop quality, while floods in western Canada have disrupted exports.
Both the corn and soybean harvests were 95% complete on November 21, 1 percentage point below the average of estimates from a Reuters poll of 11 market analysts.
Source
Hansa Terminhandel GmbH