Milling & Baking News - December 28, 2021 - 42

MARKET trends
TUES | 12 28 202 1
Wheat Futures
Winter wheat futures soared about 30¢
to 50¢ a bu and Minneapolis spring wheat
futures posted gains 10¢ to 25¢ a bu last week
on support from weather concerns in the US
hard red winter region, export restrictions
in some major export competitors and ongoing
robust global demand.
Reports of recent wind damage to wheat
in already-dry parts of the hard red winter
growing region sent the nearby Kansas
City contract to levels approaching contract
highs set in late November, while the nearby
Chicago soft winter future climbed to the
highest level since early December.
The higher hard red winter wheat futures
accompanied multi-year and even record-high
cash basis levels as domestic mills sought limited
supplies of protein, making US wheat even
more expensive on the world market.
Meanwhile, bullish news was rampant on
the global front. Several large tenders have
closed in December, including Turkey, Iran
and Algeria (durum) last week, although
indications were no US wheat went to those
countries. Iraq was buying large quantities
of wheat, some thought to be US hard
red winter. Taiwan specifically bought US
- Change from -
Dec. 23 Dec. 17 Dec. 10
Kansas City
March
May
July
September
Chicago
March
May
July
September
Minneapolis
March
May
July
September
8.61½ +51½c
8.59¾ +49½c
8.46½ +45c
8.46 +43¾c
+56c
+53c
+45c
8.14¾ +39¾c +29½c
8.18½ +40c +27¾c
8.05¾ +36c +22¾c
8.04½ +33¼c
+19¼c
10.32½ +10c +10¾c
10.24¾ +12¾c
+14¾c
$ per bu; change in cents per bu
Spot
Kansas City
Southwest, f.o.b. truck
Minneapolis
Central states, f.o.b truck
Buffalo
Southeast
N. & S. California
Los Angeles, f.o.b. truck
Pacific Northwest
Upper Midwest, sacked
Wheat germ
170 @ 185
205 @ 220
144 @ 159
Upper Midwest, f.o.b. truck 140 @ 155
Chicago West
157 @ 172
175 @ 185
160 @ 170
160 @ 175
187 @ 202
183 @ 198
120 @ 130
320
210 @ 230
$ per ton, delivered rail unless noted
42 MILLING & BAKING NEWS
BULK MIDDLINGS
- Change from -
Dec.
Dec. 17
-
-
-
Dec. 10
Year
ago
wheat, but Japan did not
hold its routine weekly
tender due to the holiday.
And the US Department
of Agriculture tenders
Dec. 27 for nearly 100,000
tonnes of hard red winter
wheat for donation to
food programs.
The USDA in its
KANSAS CITY AND CHICAGO NEARBY FUTURES
$5.50
$6.50
$7.50
$8.50
$9.50
weekly Export Sales
report said net export
sales of wheat in the
week ended Dec. 16
for delivery in 2021-22
totaled 425,400 tonnes,
down 35% from a week
earlier but up 11% from
the prior four-week average. The total was
within the range of trade expectations.
Exports and undelivered sales of US wheat
for 2021-22 lagged the year-ago pace by 22%.
Although high prices have excluded US
per bu
AM JJ AS ON D
Kansas City
Chicago
Nearby Kansas City and Chicago wheat futures
soared to the highest levels since late November
and early December, respectively, on weather
concerns and strong global demand.
Ukraine indicated it may consider limitwheat
from many recent tenders, active buying
from other countries serves to further
tighten the global wheat supply, and buyers
may at some point have little choice but to
turn to the United States.
WHEAT FUTURES
Week's
High
Low
Year
ago
8.63¾ 7.93¾ 5.89
8.61¾ 7.94¼ 5.92
+48c 8.48½ 7.86¼ 5.93½
8.48 7.89¼ 5.97½
8.20½ 7.57¾ 6.27
8.24
7.62 6.25¾
8.09¾ 7.53¼ 6.15¾
8.07¾ 7.55 6.17¾
10.35 10.08¾ 5.82¾
10.28
9.50
9.15
6.04
9.99 5.91¼
10.07½ +25c +28½c 10.09¼ 9.72¾ 5.98
9.48 +22¾c +28¾c
Season's
High
Low
8.92¼ (11-24-21) 4.86½ (08-12-20)
8.92
8.74¾ (11-24-21)
(11-24-21)
(11-24-21)
8.79
8.63
10.53
9.50
(11-29-21)
(11-29-21)
5.27
5.27
(11-24-21) 4.88¼ (08-12-20)
4.93 (08-04-20)
(08-13-19)
(08-13-19)
5.16¼ (05-18-20)
8.57¾ (11-24-21) 5.34½ (08-10-20)
10.65
10.24¼ (11-29-21)
(12-23-21)
6.15
5.74½ (09-09-20)
5.74½ (09-18-20)
6.06¾ (01-12-21)
(02-26-21)
8.71½ (11-24-21) 4.88¾ (06-26-20)
8.66½ (11-24-21)
ing exports of milling wheat in the first half
of calendar 2022 as marketing-year-to-date
exports were up 27% from a year earlier,
driving domestic wheat prices higher amid
already high inflation. Export demand for
Ukraine wheat has soared this year in part
due to Russia's attempts to curb its own
wheat prices since early in the year through
export quotas and taxes. MBN
Millfeed
Prices were mostly steady to lower last
week. Markets were quiet as mills and traders
prepared to take a few extra days off for
the Christmas holiday.
The previous weeks' robust runtimes
finally simmered after many mills reported
running full bore since early July. The
monthslong intense grind was attributed
in part to the continued reopenings in the
foodservice sector, fall and winter holiday
orders, and bakers working to replenish
pipelines depleted during the pandemic.
Midds trading was mostly quiet but a bit
Jan.
Jan.-Mar.
Apr.-June
170 @ 185 -10 @ -25 0 @ +5 138 @ 148 168 @ 178 160 @ 170 135 @ 145
205 @ 220 +5 @ - +10 @ +10 185 @ 195 200 @ 210 195 @ 205 145 @ 155
142 @ 157
138 @ 153
155 @ 170
+7 @ +7 156 @ 166 139 @ 154 135 @ 150 125 @ 135
+7 @ +7 152 @ 162 135 @ 150 131 @ 146
121 @ 131
+7 @ +7 169 @ 179 152 @ 167 148 @ 163 138 @ 148
175 @ 185 -10 @ -10 +5 @ +5 150 @ 160 165 @ 175 160 @ 170 135 @ 145
160 @ 170 -10 @ -10 +15 @ +15 175 @ 185 157 @ 167 135 @ 155 105 @ 115
160 @ 175 -10 @ -10 -10 @ -5 150 @ 160 170 @ 180 160 @ 170 150 @ 160
183 @ 198
187 @ 202
130 @ 140
-
-
-
-
-
-
140 @ 155 190 @ 205 188 @ 203 160 @ 175
144 @ 159 194 @ 209 192 @ 207 164 @ 179
120 @ 135 130 @ 140 130 @ 140 120 @ 130
more active in northern regions where colder
weather and demand for feed outpaced supply
in some markets. Most buyers, however, had
ample feed stockpiled, having taken advantage
of previous discounts and lighter livestock
appetites due to unseasonably warm temperatures
in recent weeks. Some bookings were
underway for the first quarter, but many were
waiting for fresh market indicators in the new
year before settling contracts.
Millfeed was $170 a ton in Kansas City and
$144 a ton in Minneapolis, on a rail basis, compared
with corn at $223 a ton, and sorghum at
$224 a ton, both KC. Corn gluten feed was $10
lower at $210 a ton, dried distillers' grain was
$10 higher at $210 a ton and dehydrated alfalfa
was unchanged at $300 a ton, all KC. MBN
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Milling & Baking News - December 28, 2021

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