The wheat complex was in rally mode on Tuesday, hitting the limit in a few contracts. Chicago SRW was up as little as 13 ½ cents in the deferreds to the 45 cent limit in July. KC HRW futures rallied from 27 ¼ cents higher to the limit in the front months on Tuesday. MPLS spring wheat joined in on the rally, with contracts up 17 ½ to 37 ½ cents. The CBT and KC markets will have expanded limits of 70 cents on Wednesday.
The USDA Crop Production report from this morning showed winter wheat production at 1.048 bbu, which was well below estimates of 1.211 bbu. HRW production was seen at 514.8 mbu, with SRW at 300.9 mbu and white winter at 231.8 mbu. All wheat production was 1.561 bbu, 186 mbu below the average estimate.
