Wheat continues to gain strength in the futures market at the expense of crop quality. This is particularly true in the hard red winter wheat areas, especially Kansas and Oklahoma. According to Dr. William Tierney, a prominent Kansas State University wheat specialist, the Kansas crop is now projected below 300 mil. His latest estimate now has the Kansas crop at 289 mil. Other states with significant declines this week were Colorado, South Dakota and Montana.
Weather still remains at the forefront of all wheat news, as export markets have been quiet.
The largest business on the docket is a sale of 150,000 metric tons from Pakistan to Iraq. The wheat crop in most of Europe and also in India has suffered recently from too much moisture, and yields are likely to be affected. However, with today's sophisticated equipment, the U.S. corn producer can quickly get his crop in the ground. Last year's planting pace was phenomenally fast, with weather cooperating from all angles. When the weather clears, it will likely have a detrimental effect on futures, as the market will anticipate a concerted effort to get the crop planted.