US Plains HRW Wheat-Basis bids steady; dry conditions persist
CHICAGO, Sept 19 (Reuters) -Spot basis bids for hard red winter wheat were steady in the southern U.S. Plains on Thursday while protein premiums rose for most wheat grades, bouncing after falling a day earlier.
* Protein premiums for HRW wheat shipped by rail to or through Kansas City rose by 8 cents a bushel for wheat containing 11.8% through 13.2% protein. Premiums for other grades were unchanged. KCBT/SCA
* Cash wheat activity remained quiet as farmers focused on the harvest of autumn crops such as soybeans, sorghum and corn.
* Dry conditions were slowing the start of winter wheat planting. In Oklahoma, a few growers were seeding wheat intended for cattle grazing but not much wheat had been planted for use as grain, one merchandiser said.
* Drought worsened in the Plains over the last week. The weekly U.S. Drought Monitor report showed 65% of top wheat state Kansas was in "moderate drought" as of Sept. 17, up from 56% the previous week.
* Drought was projected to persist or intensify across most of Kansas and Oklahoma through December, according to a seasonal outlook released on Thursday by the U.S. Climate Prediction Center.
* K.C. December HRW wheat futures KWZ24 settled down 14 cents on Thursday at $5.64-1/2 per bushel, pressured by sluggish export demand.
* The USDA reported export sales of U.S. 2024/25 wheat in the week ended Sept. 12 at 246,300 metric tons, below a range of trade expectations for 300,000 to 650,000 tons. EXP/WHE
Basis values are quoted against futures in cts/bu:
Current | Previous | Cash | |||||
basis | basis | price | |||||
KANSAS | |||||||
Wichita | -11 | + | Z | -11 | + | Z | $5.54 |
Newton | -40 | + | Z | -40 | + | Z | $5.25 |
Goodland | -75 | + | Z | -75 | + | Z | $4.90 |
TEXAS | |||||||
Gulf track* | 100 | + | Z | 100 | + | Z | $6.65 |
Galveston** | 100 | + | Z | 100 | + | Z | $6.65 |
OKLAHOMA | |||||||
Enid | -17 | + | Z | -17 | + | z | $5.48 |
Catoosa | -10 | + | Z | -10 | + | Z | $5.55 |
NOTES:
H = March, K = May, N = July, U = September
Z = December; UNQ = Unquoted bids
0 = Sp Option price; NC = No comparison
* = No. 1 12% hard winter wheat, rail bids
** = Ordinary protein, rail bids
LINKS:
* K.C. HRW wheat protein scales KCBT/SCA
* U.S. weekly wheat crop progress US/WHE
* U.S. forward basis WHEAT/BASIS
* U.S. Midwest cash grain PM GRA/PM
* U.S. CIF Gulf Grain GRA/C
* U.S. FOB Gulf Grain GRA/F
Reporting by Julie Ingwersen
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