US Wheat Prices Edge Higher Today Supported Partly by Potential Demand from Saudi Arabia
Overnight Session Has Grains Trading Higher
In the overnight session the grains are trading higher with March corn up ¾ of a cent, January soybeans up 2 cents and March wheat up 1 ¼ cents. March wheat prices tested resistance yesterday which held. The contract notched an intraday high of $4.39 and finished the day near the lows at $4.33 confirming selling pressure around the lows in late October. Corn prices are also near a resistance level that held on November 22nd near the $3.58 price level.
EXPORTERS SELL 130,000 METRIC TONS OF CORN FOR DELIVERY TO UNKNOWN DESTINATIONS DURING THE 2017/2018 MARKETING YEAR- USDA
Argentina is expected to receive precipitation starting today and continuing throughout the weekend. On Friday, the rain is expected to cover southwestern Buenos Aires, northeastern La Pampa and San Luis with the weekend precipitation covering western Buenos Aires and parts of Cordoba and western Santa Fe. Brazil is also expected to receive favorable precipitation throughout the west central part of corn and soybean production regions, but the far south is expected to be dry through the remainder of the week.
Heavy rains are expected to intensify throughout Victoria and parts of South Australia threatening a standing wheat crop that is close to harvest. On Friday, Australia Bureau of Meteorology issued a “Severe weather warning for heavy rainfall.” These heavy rains and thunderstorms are expected to continue over the weekend and threaten to damage up to 4 million metric tons of wheat.
It was announced this morning that Taiwan Flour Millers Association purchased 81,780 metric tons of wheat to be sourced from the U.S in an international tender.
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