The slightly stronger Aussie dollar will probably cap any movement in local new crop values today.
US and European futures markets were generally flat with Chicago wheat and corn futures close to unchanged.
Hard red wheat futures in the US were softer which is going against what those in the headers are reporting. Yields in Oklahoma and Texas have been a little below estimates at present. It’s early days yet with 25% of the Oklahoma crop in the bin and Kansas expected to start next week but if the trend continues the recent sell off in HRW futures after the blizzard that wasn’t a blizzard may get reversed.
Crop condition rating for US winter wheat was back 1% in the good to excellent range, now at 49%. Spring wheat conditions were back sharply on the previous week, now pegged at 55% G/E (62% LW). This should continue to support stronger spreads for hard wheat and realistically should also start to put pressure on our APH values to move higher than current spreads for the new crop.
Hot dry weather continues across the US and Canadian spring wheat districts this week but models do show conditions improving by the weekend with around 20mm to 30mm of rain likely over the next 10 days or so.