Afternoon wheat: Markets bounce back after defensive start
<div class=\"default-font-wrapper\" style=\"line-height: 1;font-size: 12pt; font-family: Verdana, Geneva, sans-serif;\"><p id=\"isPasted\" style=\'margin:0in;font-size:12pt;font-family:\"Times New Roman\",serif;text-align:justify;\'><strong><em><u><span style=\'font-family:\"Arial\",sans-serif;color:red;\'>Futures:</span></u></em></strong></p><p id=\"isPasted\" style=\'margin:0in;font-size:12pt;font-family:\"Times New Roman\",serif;text-align:justify;\'><span style=\'font-family:\"Arial\",sans-serif;\'>The story of the day was about the hefty duties imposed by the White House on many world trading partners. However, t</span><span style=\'font-family:\"Arial\",sans-serif;\'>here continues to be plenty of talk about the upcoming cold expected across much of the HRW wheat area Sunday into Monday. Overnight lows between the mid to lower 20’s are expected from the Dakota’s down through Neb, eastern Colo, Kansas, western Okla and even into the Texas panhandle as far south as Lubbock. This may have been an influence behind the wheat market’s recovery effort after its defensive start, along with the weaker US Dollar and recovery effort in corn. </span></p><p style=\'margin:0in;font-size:12pt;font-family:\"Times New Roman\",serif;text-align:justify;\'><span style=\"font-family:"Arial",sans-serif;\"></span><br></p><p style=\'margin:0in;font-size:12pt;font-family:\"Times New Roman\",serif;text-align:justify;\'><span style=\'font-family:\"Arial\",sans-serif;\'>Chicago May wheat started the night sharply lower (14 cents), but trade battled back, getting to within three cents of unchanged before weakening into the morning break and closing nine lower. Shortly after the day session began the market started to firm, peaking at three higher before turning two-sided midday and then weakening into the close to finish three lower. </span><span style=\'font-family:\"Arial\",sans-serif;\'>KC May wheat</span><span style=\'font-family:\"Arial\",sans-serif;\'> started the night sharply lower (14 cents), but trade battled back, getting to within four cents of unchanged before weakening into the morning break and closing six lower. A bid surfaced shortly after the day session began that ultimately rallied futures ten cents, peaking at four higher before levelling out and weakening a little and ultimately finishing with small gains. </span></p><p style=\'margin:0in;font-size:12pt;font-family:\"Times New Roman\",serif;text-align:justify;\'><span style=\'font-family:\"Arial\",sans-serif;\'> </span></p><p style=\'margin:0in;font-size:12pt;font-family:\"Times New Roman\",serif;text-align:justify;\'><strong><em><u><span style=\'font-family:\"Arial\",sans-serif;color:red;\'>Headline news:</span></u></em></strong><span style=\"color:black;\"> </span></p><p style=\'margin:0in;font-size:12pt;font-family:\"Times New Roman\",serif;text-align:justify;\'><span style=\'font-family:\"Arial\",sans-serif;\'>Wheat sales were 340 TMT (12.5 mil bu), with another 95 TMT of new crop business, for combined sales of 435 TMT. HRW wheat sales were 182 TMT, SRW sales were 11 TMT, HRS sales were 59 TMT, White sales were 68 TMT and durum sales were 20 TMT, with Unknown the buyer. </span></p><p style=\'margin:0in;font-size:12pt;font-family:\"Times New Roman\",serif;text-align:justify;\'><span style=\'font-family:\"Arial\",sans-serif;\'> </span></p><p style=\'margin:0in;font-size:12pt;font-family:\"Times New Roman\",serif;text-align:justify;\'><span style=\'font-family:\"Arial\",sans-serif;\'>USDA attache to India in a recently filed report shows they expect record wheat production in the 25/26 crop year. Production is forecast at 115.0 MMT and was attributed to higher planted acres and optimal growing conditions – for now. Keep in mind, just yesterday, India’s weather bureau said that most parts of India will experience an intense heatwave this summer with above normal temperatures expected across most of the country.</span></p><p style=\'margin:0in;font-size:12pt;font-family:\"Times New Roman\",serif;text-align:justify;\'><span style=\'font-family:\"Arial\",sans-serif;\'> </span></p><p style=\'margin:0in;font-size:12pt;font-family:\"Times New Roman\",serif;text-align:justify;\'><span style=\'font-family:\"Arial\",sans-serif;\'>Ukraine weather forecasters say this past month's weather conditions were mostly favorable for development of winter and spring grains.</span></p><p style=\'margin:0in;font-size:12pt;font-family:\"Times New Roman\",serif;text-align:justify;\'><span style=\'font-family:\"Arial\",sans-serif;\'> </span></p><p style=\'margin:0in;font-size:12pt;font-family:\"Times New Roman\",serif;text-align:justify;\'><span style=\'font-family:\"Arial\",sans-serif;\'>The latest USDA drought monitor looks to be back to normal after a couple weeks of tweaking and adjusting. The Winter wheat area in drought rose 23% up to 37%. This compares to 14% last week and 18% this time last year. The corn area in drought rose 23% up to 39%. This compares to 16% last week and 24% this time last year. The soybean area in drought rose 17% up to 33%. This compares to 16% last week and 22% this time last year. Again, last week’s data erroneously showed huge declines, and the USDA corrected their data this week.</span></p><p style=\'margin:0in;font-size:12pt;font-family:\"Times New Roman\",serif;text-align:justify;\'><span style=\'font-family:\"Arial\",sans-serif;\'> </span></p><p style=\'margin:0in;font-size:12pt;font-family:\"Times New Roman\",serif;\'><strong><em><u><span style=\'font-family:\"Arial\",sans-serif;color:red;\'>Export business around this week:</span></u></em></strong><span style=\"color:black;\"> </span></p><p style=\'margin:0in;font-size:12pt;font-family:\"Times New Roman\",serif;text-align:justify;\'><span style=\'font-family:\"Arial\",sans-serif;\'>** Japan is in with their usual weekly tender seeking 119,847 my of Canadian and US wheat. The total includes 60,596 mt of Canadian red, 34,490 mt of US HRW and 24,761 mt of US Dark Northern Spring.</span></p><p style=\'margin:0in;font-size:12pt;font-family:\"Times New Roman\",serif;text-align:justify;\'><span style=\'font-family:\"Arial\",sans-serif;\'>** April 8 Jordan is back in for up to 120 TMT of opt origin milling wheat.</span></p><p style=\'margin:0in;font-size:12pt;font-family:\"Times New Roman\",serif;text-align:justify;\'><span style=\'font-family:\"Arial\",sans-serif;\'>** April 28 Syria is back in for 100 TMT of milling wheat. They just bought 100 TMT of wheat last week. </span></p><p style=\'margin:0in;font-size:12pt;font-family:\"Times New Roman\",serif;text-align:justify;\'><span style=\'font-family:\"Arial\",sans-serif;\'> </span></p></div>