The market rallied on Thursday, after USDA Planting estimates showed all wheat acres fall from recent estimates, specially seeing spring wheat aces decrease and drive MGEX futures higher. All wheat plantings at 49.6 MA, down from 51 MA Ag Forum est. and 54.6 MA LY, led by spring wheat plantings of 11.3 MA, down from 13.2 MA LY and below the avg. estimate of 12.8 MA. March 1 stocks were pegged at 1.372 BB, which was near estimates, as the market has a pretty good view of usage. It only took one day for extended weather maps to show precipitation chances reduced and temperatures move more above normal. KC May has resistance at $4.85 and $4.90 ½, and support at $4.59. Look for wheat to take back some of the gains that followed the USDA reports, as traders shift the focus back to weather and there aren’t many concerns to start April.
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