Wheat futures opened the trading week with modest gains ranging from 6 to 8 cents per bushel across major exchanges. This movement followed a period of decline during the preceding week, when the wheat complex experienced weakness across all three trading venues.
Prior to the weekend, Chicago SRW wheat had declined 6 to 13 cents, with December contracts down 11 cents from the previous Friday. Kansas City HRW futures fell 2 1/4 to 10 3/4 cents during the session, registering a weekly loss of 14 3/4 cents in December contracts. Minneapolis spring wheat posted declines of 4 1/4 to 11 1/4 cents, though December futures showed a smaller weekly loss of 3 3/4 cents.
Traders attributed the Monday rebound to a shift in market sentiment following Friday’s risk-averse trading. The renewed focus on geopolitical risks, specifically Ukraine’s escalated attacks on Russian energy infrastructure, prompted investors to return to the market. Continued restrictions on grain exports from the Black Sea region, affecting both Russian and Ukrainian supplies despite recent diplomatic discussions about de-escalation, also contributed to renewed market interest.
Speculative positioning showed notable shifts during the week. Large speculators in Chicago wheat futures and options flipped to a net short position by September 15, moving 8,968 contracts to reach a net short of 4,706 contracts. Meanwhile, managed money in Kansas City wheat reduced its net long position by 5,490 contracts, bringing holdings to 45,758 contracts.
Closing prices from the previous trading day reflected the recent weakness before Monday’s recovery, with December and March contracts across all three exchanges showing declines that were partially offset by the early-week rebound.
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