SINGAPORE- Chicago wheat slid nearly 2 percent to its weakest in more than a week while corn fell 1 percent as rising concerns over the spread of a virus outbreak in China and its potential economic fallout triggered broad-based selling.
Soybeans dropped about half a percent to their lowest in more than six weeks.
Stocks tumbled as investors grew increasingly anxious about the economic impact of the new coronavirus outbreak, with demand spiking for safe-haven assets such as the Japanese yen and Treasury notes.
“The outbreak is pretty serious, it is dragging down stock and commodity markets, including agriculture products,” said Ole Houe, director of advisory services at brokerage IKON Commodities in Sydney.
“The virus may spread a lot faster than anyone thinks as it is Chinese New Year period, a lot of people are travelling.”
The most-active Chicago Board of Trade wheat contract lost 1.8 percent\ to $5.63-1/4 a bushel after falling earlier in the session to $5.61 a bushel, the lowest since Jan. 16. — Reuters