Wheat Futures Advance for 2nd Session

Wheat futures rose to above $5.8 per bushel, marking a two-week high, as investors assessed dry weather conditions in the U.S. southern Plains.

The National Weather Service has issued Red Flag Warnings, signaling exceptionally dry weather in the region, specifically affecting southwestern Kansas, the Oklahoma and Texas panhandles, where hard red winter wheat is overwintering, with minimal to no rainfall in the past week.

However, Russia's robust wheat production, projected at 91 million tonnes, and the latest WASDE report revealing a record-high 51 million tonnes of Russian wheat available for export, continue to impact global markets.

This abundance has prompted farms in the US and Europe to lower asking prices to stay competitive, while the report also revised upward global wheat production forecasts for the current year, contributing to reduced foreign demand, particularly in major importing regions.