USDA: wheat prices

U.S. export quotes have risen since the November WASDE report. Hard Red Spring (HRS) was mostly sideways, reflecting limited demand at the exceptionally high $441/ton, up nearly 60 percent from last year. Similarly, Soft White Winter (SWW) peaked during the past month before falling back down to $457/ton with muted foreign demand. Hard Red Winter (HRW) shot up $17/ton to $379 while Soft Red Winter (SRW) settled up $13/ton to $348. Global wheat prices were slightly higher over the past month, with strong import demand and mounting concerns over the availability of high-protein wheat. Argentine quotes edged up only $5/ton as favorable early harvest results and ample exportable supplies make this quote the most competitive. EU quotes have risen just $7/ton since the last report, tracking closely with its key competitor Russia which rose a similar amount. The global export market recently edged lower, amid rumors that the Russian export quota may be less restrictive than initially anticipated. Nevertheless, its export tax continues to escalate and is now above $80/ton, a significant increase from $25/ton when the marketing year began in July. Australian quotes are up $22/ton, reflecting both the remarkably strong export pace and the concerns about the availability of higher protein wheat. U.S. HRW shot up $17/ton, while Canadian quotes rallied $14/ton, reflecting tight supplies.

USDA

Tags: U.S., SRW, export quotes, WASDE report, HRS, SWW, HRW