Markets > Commodities

​CBOT wheat surges to seven-month high

CHICAGO
2018-03-01 08:42

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Chicago Board of Trade (CBOT) agricultural commodities closed higher amid weather woes on Wednesday with wheat futures gaining nearly four percent.

The most active corn contract for May delivery rose 2.75 cents, or 0.73 percent to settle at 3.82 dollars per bushel. May wheat delivery went up 18 cents, or 3.77 percent to close at 4.77 dollars per bushel. May soybeans were up six cents, or 0.57 percent to settle at 10.555 dollars per bushel.

The wheat prices soared to new highs since last July as traders were increasingly worried about the damage that dryness has brought to the crop growing in U.S. plains.

"It seems that the crop concerns in the U.S. is really driving this market," said Virginia McGathey with McGathey Commodities.

A latest U.S. Department of Agriculture report confirmed the damage from the dryness, with only 12 percent of Kansas' wheat crop being rated in "good" or "excellent" condition.

Weather forecasters said that U.S. wheat growing areas are poised for more dry weather.

The CBOT soybeans firmed up on Wednesday as severe drought in Argentina is still threatening the crop down there, said McGathey, adding that it looks like there is no improvement in sight.
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