Wheat Report, 02/23/2016

Tuesday, February 23, 2016


Funds were sellers, starting shortly after the 8:30 open yesterday, as negative fundamentals and stronger USD have the wheat market contained near lows. Export inspections slowed from recent weeks and fell short of the low estimate for the week at 245k MT. Ukraine’s grain production is estimated to be down 10%from 2015, due to a 7.5 MMT reduction is winter wheat production vs. LY. Cash markets are very quiet this week, with mills not showing any concern over needs and have little interest to value new crop demand. KC May has resistance at $4.70 and support at $4.58 ½ and $4.52. Outside markets are taking a breather after yesterday’s strength; USD up 12 points, Crude Oil steady and S&P down 0.5 points. Look for a quiet trading session, as the focus begins to switch to the USDA Ag Outlook Forum on Thursday/Friday, while watching weather conditions.


Unless otherwise noted, the posts on this blog should be construed as market commentary, merely observing economic, political and/or market conditions, and not intended to refer to any particular trading strategy, promotional element or quality of service provided by INTL FCStone Inc. or its subsidiaries. INTL FCStone Inc. is not responsible for any trading decisions taken by persons viewing this material. Information contained herein was obtained from sources believed to be reliable, but is not guaranteed as to its accuracy. These materials represent the opinions and viewpoints of the author, and do not necessarily reflect the viewpoints and trading strategies employed by INTL FCStone Inc. or its subsidiaries. Reproduction without authorization is prohibited. All rights reserved.

Market Intelligence Free Trial