US Wheat Falls Amid Technical Trading, Black Sea Supply Concerns
US wheat futures fell on Friday due to technical trading, according to Brian Splitt, partner at AgMarket.net. Despite the decline, US wheat managed a monthly gain for the first time in three months, driven by concerns over Black Sea supplies following attacks by Russia and Ukraine.
The end of the month is also causing liquidation, with shipowners, insurers, and exporters potentially becoming more hesitant to operate in the region due to rising freight costs and slower grain movement. This has led to wheat prices jumping on Thursday after reports that Ukrainian drones had attacked the port of Taman in Russia.
The US Department of Agriculture's supply and demand report for August is also being closely watched, as it will provide updates on new crop yields. In related news, the European Commission cut its forecast for usable production of most grain and oilseeds in the EU by 2026/27, with a significant drop in soft wheat output.