The US weekly crop progress report was out overnight. Not that anything in that report was likely to change the direction of the US futures market. A sea of red is on the screen this morning. Wheat, corn, soybeans, US grains all sharply lower. End of month positioning, probably. There seems to be a growing lack of convergence between futures and fundamentals at present. But again, the market can remain irrational longer than you can remain solvent, so the trend is your friend.
Funds added additional wheat to their net short, selling a further 1675 contracts in wheat for the week ending June 23rd. This takes their net short to 71,206 contracts, that’s 9.68mt of wheat sold. Wheat that will not get delivered to a consumer, wheat that is only of value on paper while the position is profitable. Wheat that will need to be bought back prior to a first notice day. Keep this in mind as we move through the second half of this year.
US weekly wheat export inspections, wheat loaded for export, was not great, it wasn’t abysmal, but 358kt isn’t going to bull the market.

US wheat harvest is progressing a little slower than expected, not quiet breaking through the half way mark. At 48% harvested it still remains well ahead of the 5 year average pace of 39% done by now. The crop condition rating for the US winter wheat crop was unchanged at 26% G/E.
The spring wheat crop condition rating improved, up from 54% G/E last week to 59% this week. That might help explain some of the weakness in Minneapolis spring wheat futures which got hit pretty hard nearby overnight, probably more short (long) and caught though.
Cash values out of the US Pacific Northwest were also lower. New crop Canadian spring wheat out of Vancouver shed as much value as the US product. Across SE Saskatchewan cash bid for an August lift were back , now some CAD$27.00 under a July lift. New crop 1CWRS13.5 spring wheat out of SE Sask was bid on avg at CAD$253.56 for a Dec lift. Using Asia as a home and converting that to an XF LPP price gives us a number much lower than APH2 here.