SINGAPORE- Chicago wheat rose for a third consecutive session on Tuesday, with prices near their highest in more than two months as a decline in US winter crop condition and dryness in Russia buoyed the market. Corn and soybeans firmed.
“We see an upside for wheat prices as dry weather is threatening Russian and US crops,” said one Singapore-based trader. “Funds are short on wheat and any worries over supplies is going to prompt funds to cover short positions.”
The most-active wheat contract on the Chicago Board of Trade (CBOT) added 1 percent to $5.93-1/2 a bushel, not far from Monday’s highest since mid-February at $5.96 a bushel.
Corn gained 0.4 percent at $4.51-1/2 a bushel and soybeans climbed 0.6 percent to $11.83-1/4 a bushel.
The US Department of Agriculture’s (USDA) weekly crop progress report showed 50 percent of US winter wheat crop in good-to-excellent condition, 4 percentage points short of the average estimate of analysts polled by Reuters.
The ratings are still the highest for this time of year since 2020, though the surprising reduction may raise concerns about dry weather in the southern Plains.
