Pre-Opening Wheat Market Report for 4/28/2010

July wheat was 1 3/4 cents higher overnight. The dollar was also higher.

The July wheat contract has traded in a very narrow range since Monday’s sharp break, remaining well within that day’s broad trading range in the process. This comes as the dollar continues to rally, a factor that traders credit mainly to concern over the shaky finances of Greece, Portugal and a few other countries in the Euro-zone. Weather forecasts in North America call for scattered showers in the Canadian Prairies for the remainder of this week which should allow moderate progress in field work there. Lesser amounts of rain are expected to move across the Dakotas on Friday which is expected to allow continued progress on the planting front for US spring wheat. The southern Plains of the US are expected to remain mostly dry into the weekend with scattered showers and some locally heavier rains possible from Friday through Sunday. The USDA will release its latest weekly Export Sales report tomorrow morning. Sales total on the last two reports have fallen below the weekly average needed to reach the USDA’s export projection for 2009/10. This has been credited to a firmer dollar and a modest rally in wheat during the first 3 1/2 weeks of April. South Korea’s biggest feed maker is reportedly looking to buy 45,000 to 55,000 tonnes of feed wheat today.