US Wheat Review on Friday: Closes mostly lower on profit-taking

 

 

U.S. wheat futures sank in late trading Friday after taking out recent highs and closed mostly lower on pre-weekend profit-taking, analysts said.

 

Chicago Board of Trade December wheat closed down 4 cents at US$5.47 3/4 a bushel, up 49 cents on the week. Kansas City Board of Trade December wheat fell 3 1/2 cents to US$5.49 1/2, and Minneapolis Grain Exchange December wheat ended up 1/2 cent at US$5.60 3/4.

 

The markets were sharply higher in early trading on short-covering and fund buying, traders said. CBOT December wheat hit a session high of US$5.74 3/4 on the screen, its highest price since Aug. 4.

 

Neighboring CBOT corn also closed lower ahead of the weekend. Traders continue to keep an eye on the weather, as wetness has delayed corn and soy harvesting and soft red winter wheat planting.

 

Producers in the Midwest and south often plant SRW wheat after soybeans, but they need to get the soybeans out of the ground before they can put the wheat in. Rain next week doesn't look favorable for harvesting, analysts said.

 

 

Kansas City Board of Trade 

 

KCBT wheat closed lower on profit-taking as the market pulled back from recent gains, traders said. KCBT December wheat finished up 39 cents on the week.

 

Wheat will likely take direction from other markets and money flows next week, traders said. More fund buying or short-covering at the CBOT would help lead KCBT and MGE wheat higher, they said.

 

 

Minneapolis Grain Exchange 

 

MGE December wheat closed slightly higher but well off its session high of US$5.83. The contract ended up 34 1/4 cents on the week.

 

Profit-taking and the setback in other markets prompted MGE wheat to pare gains, traders said. The wheat markets weren't trading on fundamentals when they climbed earlier in the session, they said.