Wheat futures closed lower across Chicago, Kansas City, and Minneapolis markets on Tuesday, declining by 1 to 6 3/4 cents. This broad decline occurred despite Japan issuing a tender for 77,220 MT of US and Australian wheat and SovEcon cutting its 2025 Russian crop estimate by 3 MMT to 78.7 MMT. The bearish sentiment was likely driven by an 8.7% increase in France's soft winter wheat planted area and significantly lower EU export estimates for 2024/25, which collectively overshadowed potentially supportive demand and supply developments.
Wheat futures experienced a broad-based decline across the three major US markets, with contracts for Chicago SRW, KC HRW, and MPLS spring wheat closing lower by 1 to 6 3/4 cents. This bearish price action occurred despite fundamentally supportive news, including a tender from Japan for 77,220 MT of wheat, of which 55,420 MT is US-specific, and a 3 MMT reduction in SovEcon's forecast for the 2025 Russian wheat crop to 78.7 MMT. The market appeared to weigh negative European indicators more heavily, specifically the projection that EU 2024/25 soft wheat exports will be significantly lower at 10.54 MMT through mid-December, a steep drop from 15.17 MMT in the prior year. Compounding this bearish sentiment was the French Farm Ministry's estimate of an 8.7% year-over-year increase in the country's soft winter wheat planted area, suggesting a larger regional supply is forthcoming.
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moderately negative
Sentiment Score
-0.50
Ticker Sentiment
