Grain Market Update - Wheat (June 2015)

The following graph shows the movement in Chicago (CBOT) December 2015 Wheat Futures price and the 2015/16 APW Multigrade price delivered port.

Although the basis has remained relatively constant, prices dipped during May and more recently have peaked for the year to date.  At the peak, the APW multigrade price was $318/tonne port with the December futures price being A$266/tonne equivalent.

At this peak, the APW multigrade price was above Decile 9 levels.  This high decile level partly due to a strong basis, would suggest that there was more downside than upside in the market.

Currently the CBOT December 2015 Wheat Futures price is A$243/tonne equivalent and the APW Multigrade price is $300/t delivered port, reflecting a positive basis of A$57/tonne.