Wheat futures quotes at $6.18 suggest the market is consolidating after last week’s rally. Macro indicators, including USD currency strength, are weighing slightly on contracts expiring in September. Hedging strategies are in play as commercial buyers lock in near-term supply. Market analysts will likely be talking about fundamentals and the latest headlines, but none of this matters at this point. Wheat is starting the new week 3 to 4 cents lower by midday across the three exchange traded contracts in the US. An early attempt to move higher failed to take out Friday’s highs and the longs bailed. The wheat market was in rally mode on Friday. CBT prices were 12 to 13 cents higher across most nearbys, with September up 1 1/4 cents. KC contracts were 11 to 12 cents in the green, as Sep was up 4 ¾. The latest wheat futures quotes show a modest uptick to $6.22, driven by stronger export demand from Southeast Asia. In the commodity markets, traders believe that an unexpected spike in Ukrainian shipments could pressure prices later this week. Volume remains above the 30-day average.
