Wheat Prices Surge on Friday Amid Production and Sales Data
The wheat market is experiencing significant gains on Friday, with contracts rallying across the three major markets. Chicago SRW contracts are trading at 11 to 12 ½ cent gains midday, while KC HRW futures are 16 to 18 cents higher so far. MPLS spring wheat is also showing 11 to 12 cents higher as the market heads into the weekend.
The upcoming release of the NASS's monthly Crop Production report on Wednesday will provide valuable insights into wheat production data, with analysts surveyed by Reuters expecting 1.525 bbu of wheat, a cut of 11 mbu from July if realized. Winter wheat is forecast to be down 9 mbu to 981 mbu, while spring wheat is expected to slip 7 mbu to 468 mbu.
The latest Export Sales data shows total wheat sales for the marketing year at 7.277 MMT, a 29% drop from the same period last year. This represents 35% of the USDA's forecast and lags behind the 44% pace from a year ago.