News

Basis bids for hard red winter wheat were steady to weaker in the southern U.S. Plains

Wheat
United States
Sustainability & Environmental Impact
Market & Price Trends
Published Apr 15, 2024

Tridge summary

In the southern U.S. Plains, the market for hard red winter (HRW) wheat saw basis bids holding steady to weaker, with a notable decrease in Catoosa, Oklahoma, and reduced protein premiums in Kansas City. This trend unfolded against a backdrop of cautious trading as the weekend approached, compounded by worries over drought conditions potentially undermining the 2024 crop yield. Despite these concerns, K.C. wheat futures managed a slight uptick, driven by bargain-buying. The prevailing market sentiment is one of caution, with farmers delaying sales in anticipation of clearer yield forecasts, while the prospect of forthcoming rain could alleviate the drought conditions in the central Plains.
Disclaimer: The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

Basis bids for hard red winter (HRW) wheat were steady to weaker in the southern U.S. Plains in quiet trade ahead of the weekend while K.C. wheat futures rose on bargain-buying, dealers said. * The HRW basis softened by 3 cents at a wheat elevator in Catoosa, Oklahoma. * Protein premiums for HRW wheat shipped by rail to or through Kansas City fell by 5 cents a bushel for wheat with 13% through 13.6% protein while premiums for other grades were unchanged. * Farmers remain hesitant to sell wheat until they learn more about yield prospects for the developing 2024 crop. * Drought remains a concern in the region despite relatively strong weekly crop condition ratings. * The weekly U.S. Drought Monitor report said 50% of Oklahoma was abnormally dry as of April 9, up from 38% the previous week. In Kansas, the top U.S. winter wheat producer, 81% of the state was abnormally dry, up from 78% the prior week. * Dryness in the central Plains is likely to hamper the growth of winter wheat ...
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