US Wheat Complex Sees Significant Gains on Thursday Amid Market Expectations
The US wheat complex experienced significant gains on Thursday across the Chicago SRW, KC HRW, and MPLS exchanges. Contracts for Chicago SRW rose by 5 ¾ to 12 ½ cents, while KC HRW futures saw higher trade of 10 ¼ to 12 ¾ cents at the close. Meanwhile, MPLS spring wheat contracts closed with gains of 12 ½ to 15 ¾ cents.
The US Department of Agriculture (USDA) is expected to leave the US production estimates unchanged in its upcoming WASDE report, scheduled for this month. The agency will wait for the Small Grains Summary on September 30 before making any updates to the balance sheet. Traders anticipate few changes, with a Bloomberg survey indicating an average guess of 718 mbu, only 1 mbu above August's estimates.
On the global front, stocks are forecasted to decrease by 0.3 MMT to 273 MMT. The upcoming Export Sales data is delayed until Friday due to the Monday holiday. According to a Reuters survey, traders expect export sales between 250,000 and 500,000 MT in the week ending on September 3.