CHICAGO- US wheat futures dropped 4.1 percent on Friday, with traders locking in profits from a rally sparked by escalations in the Russia-Ukraine war that raised the prospects of export disruptions from the two key global suppliers.
Corn futures also were weaker, pressured by forecasts that showed more rain and cooler temperatures in the outlook for the US Midwest next week.
Soybean futures were mixed, with tight supplies in the country supporting old-crop contracts while the improved weather view pressured new-crop offerings.
“We are in the mode where we are going to go forecast to forecast,” said Scott Harms, agricultural risk specialist at Archer Financial Services. “If it is a little cooler and wetter, the market is going to back up a touch.”
Chicago Board of Trade soft red winter wheat for September delivery ended down 29-1/2 cents at $6.97-1/2 a bushel. The contract notched a weekly gain of 5.4 percent.
“There has certainly been a lot of panicking … on global markets this week. Now people are looking at numbers again, and if you look at Russia’s large crop and the good harvests in France and elsewhere in the EU, it doesn’t seem like there is going to be a wheat shortage problem,” a French trader said.
