Domestic wheat prices may see a phased rebound

The expansion of the minimum purchase price policy regions for wheat in China's main producing areas has strengthened the confidence of market participants and further supported the floor of the policy price for wheat. As the grain supply in the circulation market further decreases and flour processing enterprises consume their stocked grain, the buying and selling mentality of market participants will gradually change. A phased tightening of supply and demand may become the driving force supporting a rise in wheat prices, and wheat prices may gradually align with the policy price; however, because the flour and bran markets are performing poorly, demand is starting up relatively slowly. In the later period, attention should be paid to the purchasing dynamics of flour processing enterprises and the transaction situation of national temporary reserve wheat.