CANBERRA- Chicago wheat futures rose to a three-week high on Monday amid concerns over the French crop and tensions in the Black Sea, although ample supply kept prices near multi-year lows.
Soybean and corn futures fell slightly.
The most-active wheat contract on the Chicago Board of Trade (CBOT) was up 0.4 percent at $5.56-3/4 a bushel by 0231 GMT after touching $5.60 in early trade, its highest since March 5.
Farm office FranceAgriMer said on Friday that 66 percent of French soft wheat was rated as in good or excellent condition by March 18, down from 94 percent a year ago.
Russia, meanwhile, launched an attack against energy infrastructure in Ukraine, a significant grain exporter.
“The end of last week saw some short-covering as the market reacted to news of lower condition ratings in French soft wheat,” said Andrew Whitelaw, an analyst at Australian agricultural consultancy Episode 3.
Wheat futures, along with soybeans and corn, are exposed to short-covering rallies after speculators built up their biggest net short position in years, and funds were net buyers of CBOT wheat on Friday, traders said.
