Weekly Market Highlights
- Wheat futures prices are higher this week, basis premiums are firm to higher for most grades of wheat.
- Futures responded to recent USDA reports that lowered world ending stocks as a result of increases in use of wheat for human food and animal feed.
- Despite the small reduction in ending stocks, wheat supply in the U.S. and worldwide is ample.
- In the U.S., storage of large crops of wheat, corn, and soybeans will be a major concern. The French wheat crop is in dismal shape possibly not export-worthy, but several other Nations are enjoying increasing production projections that will more than offset France’s issues.
- While wheat futures are no longer trading at their lowest point in decades, they are not far from there. Basis premium prices can be expected to continue to show strength as Producers turn their attention away from marketing wheat.
Flour Facts will be taking a break next week. Please watch for our next issue September 29th
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