US Plains HRW wheat basis mostly flat; rains benefit Kansas
WEAT•Kansas received 1 to 3 inches of rain over three days, benefiting recently planted winter grains, while southern Plains wheat basis bids were unchanged. Gulf track basis fell 17 cents to 93 cents over December K.C. wheat futures.
1. Rain aids winter wheat
Much of Kansas received 1 to 3 inches of rain over three days, with isolated totals up to 6 inches. The USDA said moisture was generally benefiting rangeland, pastures and recently planted winter grains, though fieldwork delays persisted in the wettest areas.
2. Planting and basis
US winter wheat planting lagged the five-year average as of September 27, and some farmers were waiting for rain before seeding. Severe drought persisted in parts of Oklahoma and Texas, raising concerns about planting and crop establishment. Southern Plains elevator bids were unchanged, while Gulf track basis fell 17 cents to 93 cents over December K.C. wheat futures; premiums rose 3 to 5 cents for wheat with 12.0% to 12.4% protein.
3. Futures retreat
December K.C. wheat futures settled down 2-1/4 cents at $7.35-1/4 per bushel. Merchandisers said the contract’s retreat from early September highs above $8.50 a bushel had slowed farmer grain sales.
