The wheat market found strength to close out the week on the third day of fund buying in Chicago. CFTC added about 3k contracts to the net short in Chicago ahead of last week’s buying string, which puts the estimated position at 83k contracts short through Friday. Overnight trading saw the rally continue, as there are reports of areas in the EU that are receiving too much rain, sparking concerns. U.S. weather maps show a hot, dry pattern for the next 6-10 days, which should give way to harvest progress for HRW. Informa raised its winter wheat production estimate to 1.45 BB, up from 1.405 BB previously. Interior cash values are weakening for low protein bushels, as traders expect the harvest average to be below normal, but bids are holding firm for 12 pro and higher guarantees. The USD has steadied after the plummet on Friday, but Crude Oil has caught a bid this morning. Look for another day of stronger values, as the soybean complex continues to run.
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