Wheat Report, 05/05/2016

Thursday, May 05, 2016

Overnight trade chopped around unchanged, after closing slightly higher yesterday with USD limiting the upward move in grains. Export sales showed 179 TMT of old crop and 140 TMT of new crop this week, which were large reductions from last week but came in near estimates. The second day of the KS wheat tour estimated SWKS yield at 49.3 bpa vs. 34.5 LY. This brings the 2-day total to 48.2 bpa, and the final estimate will be released this afternoon as scouts make their way back to Manhattan. The OK Grain and Grain meeting put out a crop estimate of 131 MB and 34 bpa yield, and also had a trade estimate of 128.5 MB, which compares to 98.8 MB, 42.9 MB and 105 MB the previous three years. Cash markets are mostly flat, with KC spot values still supported as mills looks to keep the pipeline full going into harvest. Look for some support to come from very good soybean sales this week, but fundamental pressure should keep wheat around unchanged

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