|
Click here for
your Free Wheat Futures/Options e Guide
5/15/08 Wheat futures prices sold off in
sympathy to beans and corn. There is a lack of any bullish news
in the markets right now. Wheat option premiums are high.
5/9/08 Wheat futures prices are still
falling this week. The USDA supply and demand report showed US
ending stocks at 483 million bushels which is up from 239
million bushels in 2007-08. The global stocks were at 124
million tons which is up from 110 million tons in 2007-09. Wheat
option premiums are very high.
5/1/08 Wheat futures prices are still coming
down as the global crop production is supposed to be huge and
maybe a record. Wheat option premiums are still very high.
4/25/08 Wheat futures prices sold of the a 3
month low this week based on the estimates of the biggest global
wheat crop in history. India is expected to produce a new record
77 million tons and Canada is expected to increase plantings by
16% this year. Wheat option premiums are still very high.
4/18/08 Wheat futures prices are still in a
sideways to down trend as the current tight supplies are causing
food riots around the world but in a few short months the
biggest crop in history is expected to hit the markets around
the world. Wheat option premiums are very high.
4/11/08 Wheat futures prices sold off this
week in expectation of a huge world wheat crop hitting the
markets soon. The USDA estimates that the US and world supplies
of wheat will be ample once harvest begins. Wheat option
premiums are very high.
4/4/08 Wheat futures prices had another wild
ride this week based on the USDA report showing acreage up 6%
from a year ago and stockpiles down 17%. Also in the news is the
end of the strike by farmers in Argentina. Draught conditions
still persist in some southern wheat areas in the US. Wheat
option premiums are very high.
3/28/08 Wheat futures prices had a wild ride
this week. Many market players are waiting for the USDA
prospective plantings report to come out on March 31. A huge
crop is expected to hit the markets within the next few months.
Wheat option premiums are very high.
3/21/08 Wheat futures prices kept falling
this week as Wall Street hedge funds and commodity funds
liquidated futures positions to cover margin calls in stocks and
to pay back borrowed money. The Bear Stearns issue took the
confidence from investors. The Fed's 75 basis point cut
surprised investors because a full 100 basis point cut was
expected. Wheat option premiums are very high.
3/14/08 Wheat futures prices rallied to a
new contract high after collapsing earlier. The USDA report
showed US ending stocks down from 272 to 242 million bushels.
This is the lowest supply of wheat since the 1946-47 season. The
falling US Dollar and the perception that the Federal Reserve
Bank will continue to cut rates is helping buoy many commodity
futures prices. Wheat option premiums are very high.
3/7/08 Wheat futures prices sold off this
week following the rest of the commodities down. The USDA report
on 3/11 is expected to show an increase in planted acres
expectations. Australia is expected to almost double its wheat
production in 2008 versus 2007. A wheat fungus has been
affecting Asian wheat markets. Wheat option premiums are very
high.
2/29/08 Wheat futures prices hit all time
highs again in a volatile trading week. Wheat futures prices are
up 32% this year so far. The Chinese drought may be worse than
expected and Iraq bought 400,000 tons of hard red winter wheat
this week. MF Global may have been the cause of much of the
volatility when a trader of theirs got stuck in some wheat
futures costing the company around $141 million dollars on the
trade. That's how risky wheat futures are right now. Wheat
option premiums are very high.
2/22/08 Wheat futures prices are still
sliding in based on the idea that record global planted acreage
will offset recent deficits. Huge crops are expected from China,
India, Australia, Eastern Europe and North America to replenish
global stocks after Spring. The USDA planted acreage report
estimates that the wheat crop in the US will be up by 6% to 64
million acres. Wheat option premiums are very high.
2/15/08 Wheat futures prices were wild this
week. Up and down limit in the Chicago exchange off of all time
highs by about $1. The USDA long term projected wheat production
estimates for 2008-9 were up 14%. Farmers all over the world are
planting wheat to take advantage of the record high prices.
Demand is still robust and supplies at all time lows for the
near term. Wheat option premiums are very high.
2/8/08 Wheat futures prices were up limit a
few days this week based on the huge demand and lower global
stockpiles. Supplies of spring wheat are historically low and
getting worse while commercial demand is still strong. If the
USDA estimates are correct, the US has the lowest ending stocks
in 60 years and the global supply is the lowest in 30 years. Bad
weather in many wheat producing countries may make it hard to
build supplies over the near term. Wheat option premiums are
high.
2/1/08
Wheat futures prices rallied through the $9.50 level getting
closer to all time wheat futures price highs. The USDA report
showed the global stocks at 111 million tons which is expected
to pressure wheat futures prices higher. Weather is not expected to be an issue, the Russian
tariffs may cause problems but the
stocks to usage ratio is expected to be the tightest in 25
years. The US Dollar is historically weak which may also spur more demand from foreign buyers
and higher wheat futures prices.
-T & K Futures and Options Inc. |
