Wheat Falls as US Weather Improves, Black Sea Risks Persist
Wheat fell to around $7.2 per bushel, moving further below the 3-1/2-year high of $7.67 reached on August 28, as improving weather in parts of the US Plains eased concerns over winter wheat conditions. The USDA said recent rainfall across the northern and central Plains had improved topsoil moisture and prospects for germination, although planting remained behind average at 17% complete versus the five-year average of 21%. Kansas was 10% planted, Oklahoma 4% and Texas 21%. Meanwhile, continued attacks between Russia and Ukraine have clouded prospects for a recovery in Black Sea grain exports, with strikes on vessels and ports leaving seaborne shipments largely disrupted. Russia has increasingly redirected grain through Baltic and Arctic terminals, although volumes remain below normal Black Sea flows. Markets are also monitoring diplomatic efforts at the UN and the Trump-Xi meeting for potential developments affecting energy flows and Chinese agricultural purchases.
67 reached on August 28, as improving weather in parts of the US Plains eased concerns over winter wheat conditions. The USDA said recent rainfall across the northern and central Plains had improved topsoil moisture and prospects for germination, although planting remained behind average at 17% complete versus the five-year average of 21%. Kansas was 10% planted, Oklahoma 4% and Texas 21%. Meanwhile, continued attacks between Russia and Ukraine have clouded prospects for a recovery in Black Sea grain exports, with strikes on vessels and ports leaving seaborne shipments largely disrupted.
Russia has increasingly redirected grain through Baltic and Arctic terminals, although volumes remain below normal Black Sea flows. Markets are also monitoring diplomatic efforts at the UN and the Trump-Xi meeting for potential developments affecting energy flows and Chinese agricultural purchases.