Wheat advanced for a second day as cold weather gripped the U.S., Canada and Russia, raising the risk of damage to the winter crops and delaying planting of the spring variety.
Wheat for delivery in July gained as much as 0.6 percent to $7.0775 a bushel on the Chicago Board of Trade at 9:58 a.m. Singapore time. The most-active contract was poised for a second weekly gain.
Low temperatures in parts of the central and southern plains in the U.S., Russia and Ukraine may hurt winter crops, DTN said in a report yesterday. In the Canadian Prairies, winter storms and cold weather has led to a deep snow pack in many areas, raising the risk of flooding and slowing the start of field work for spring planting, the forecaster said.
“The market will refocus on current crop concerns in North America, parts of Europe and Southern Russia,” Luke Mathews, a commodity strategist at Commonwealth Bank of Australia, wrote in a report today.
Exporters in the U.S., the largest shipper, sold 360,000 metric tons of soft red winter wheat to China for delivery in the 12 months that starts June 1, the U.S. Department of Agriculture said yesterday, after reporting that weekly sales in the five days ended April 4 advanced to 339,479 tons, from 315,984 tons a week earlier.
Corn for July delivery rose 0.2 percent to $6.345 a bushel, set for a 2.7 percent gain this week. The most-active contract, which switched from May-delivery to July this week, headed for a 0.9 percent gain.
Soybeans for July delivery were little changed at $13.6725 a bushel.
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