Due to rumors, wheat futures declined in overnight trading. Russia will export more wheat than originally planned.
In a government bill, Russia set a grain export quota of 15 million tons from mid-February to late June, which is less stringent than forecast, meaning it was able to ship more than the market expected.
To protect the county’s domestic supply, they limit the quotas to limit exports.
The USDA expects Russia to supply 39.5 million tonnes of wheat in the 2020-2021 marketing year, which began June 1.
If this were done, the Russian nation would become the world’s largest grain exporter. By comparison, the USDA is forecasting 26.5 million tonnes of wheat to be exported from the United States, making it the second-largest shipper of grain.
However, US export sales have been strong this year.
Since the beginning of June, overseas buyers have pledged to buy 16.9 million tonnes of US wheat, up 12% from the same period last year, according to USDA data.
In December, Chicago Chamber of Commerce overnight wheat futures fell 3½ cents to $ 5.94½ a load, while Kansas City futures fell 3 cents to $ 5.50½ a bushel.
In January, soybean futures fell half a cent to $ 11.52 a bushel. Soybean meal rose 20 cents to $ 392.90 a tonne, while soybean oil fell 0.04 cents to 37.09 cents a pound.
In December, corn futures lost 1 cent to $ 4.15 a bushel.