US Wheat Price Report : Analysts And Government Groups Continue To Increase Production Estimates For Major Suppliera

• All three futures markets closed lower on Friday, extending their slide to four year lows. Analysts and government groups continue to increase production estimates for major suppliers, adding to already plentiful global stocks and pushing futures lower. Favorable weather forecasts for planting in the southern winter wheat belt also pressured markets. Strong export competition combined with a stronger U.S. dollar weighed on markets. CBOT December wheat fell 14 cents to $4.88/bu, KCBT dropped 24 cents to $5.70/bu and MGEX lost 43 cents to $5.35/bu. CBOT December corn closed unchanged at $3.38/bu and CBOT November soybeans lost 14 cents to $9.72/bu.
• French group Strategie Grains increased its estimate for EU wheat production for the fifth consecutive month, up 2.5 MMT to 154 MMT and compared to 145 MMT last year.
• Agriculture consultancy SovEcon raised its estimate of 2014/15 Russian production to 60.0 MMT, up from 58.0 MMT previously. It also increased its projection of Russian wheat exports by 500,000 MT to 22.5 MMT.
• According to the USDA’s Export Sales Report, weekly sales of 314,500 metric tons for delivery in the 2014/2015 marketing year were down 54 percent from the previous week and 15 percent from the prior 4-week average and below trade expectations of 450,000 to 650,000 MT.Total known outstanding sales and accumulated exports of all classes of wheat, through September 11, 2014 were 12.4 MMT, 27% lower than last year's year-to-date total of 17.1 MMT. USDA forecasts 2013/14 U.S. wheat exports (including donations) to reach 24.5 MMT.
• The Baltic Panamax Index closed 61 points lower than last Friday at 814.
• The US Dollar Index closed higher this week at 84.86, up from 84.25.

Source : uswheat.org