Wheat futures climbed on Monday, following a six-session streak of declines, after a monthly report from the U.S. Department of Agriculture revealed a lower forecast for 2021/2022 supplies. The USDA cut its outlook for all wheat U.S. production by 152 million bushels to 1.7 billion bushels and pegged the all-wheat crop yield at 45.8 bushels per acre, down 4.9 bushels from last month’s forecast. “The production forecasts for durum and other spring wheat indicated a significant decline compared to last year…due to the severe drought conditions affecting the Northern Plains,” the report said. Wheat prices got a boost, “with a major downward revision in yields reducing ending wheat inventories and all-wheat production well below expectations,” said Sal Gilbertie, president and chief investment officer at Teucrium Trading. The most-active September wheat contract
WU21,
+2.97%
rose by 14 1/4 cents, or 2.4%, to $6.29 1/4 a bushel in Chicago. A higher settlement would mark the first session gain of the month so far, according to FactSet data.
