CANBERRA- Chicago wheat futures rose on Tuesday but remained close to their lowest level since 2020 amid expectations of strong supply and as a rising dollar made US farm exports costlier for importers.
Soybean and corn futures inched higher.
The most-active wheat contract on the Chicago Board of Trade (CBOT) was up 0.3 percent at $5.58-1/2 a bushel, but prices are still down 11 percent this year and fell to $5.24 last month, the lowest since August 2020.
“Large supplies of wheat and other grains such as corn are weighing on pricing,” said Andrew Whitelaw at Australian agricultural consultancy Episode 3.
“Heavy exports (of wheat) from Russia are a cause for concern,” he said. “With a lack of new bullish information, we expect pricing to remain relatively flat with bearish overtones.”
The US Department of Agriculture (USDA) in its first weekly crop progress report of the 2024 growing season rated 56 percent of the US winter wheat crop in good-to-excellent condition, below an average of trade expectations but still the highest for this time of the year since 2019.
