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U.S. wheat futures decline with USDA report in focus

Published 02/09/2015, 06:54 AM
© Reuters.  U.S. wheat futures lower ahead of USDA monthly report
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Investing.com - U.S. wheat futures edged lower on Monday, as investors readjusted positions ahead of the U.S. Department of Agriculture’s closely-watched monthly supply and demand report due on Tuesday.

On the Chicago Mercantile Exchange, US wheat for March delivery shed 3.33 cents, or 0.63%, to trade at $5.2388 a bushel during U.S. morning hours.

On Friday, US wheat for March delivery tacked on 1.2 cents, or 0.24%, to close at $5.2700 a bushel.

The March wheat contract rallied 24.75 cents, or 4.79%, last week, the first weekly gain in seven weeks, amid speculation lower prices will increase demand for U.S. supplies.

Wheat has been under heavy selling pressure in recent weeks amid ample global supplies and indications of reduced demand for U.S. wheat.

Meanwhile, US corn for March delivery tacked on 0.03 cents, or 0.01%, to trade at $3.8563 a bushel.

US corn for March delivery hit a daily peak of $3.8940 a bushel on Friday, the most since January 22, before ending at $3.8560, up 0.4 cents, or 0.13%.

The March corn contract jumped 15.72 cents, or 4.05%, last week.

Despite recent gains, corn prices remained vulnerable amid reduced demand for corn-based ethanol and ample supplies in the U.S.

Elsewhere on the Chicago Board of Trade, US soybeans for March delivery dipped 0.75 cents, or 0.08%, to trade at $9.7325 a bushel.

On Friday, US soybeans for March delivery shed 7.6 cents, or 0.79%, to end at $9.7340 a bushel.

The March soybean contract rose 12.02 cents, or 1.29%, last week, the first weekly rise in four weeks.

Prices of the oilseed have been weighed by concerns over weakening demand from China and amid optimism over crop prospects in Brazil and Argentina.

Corn is the biggest U.S. crop, followed by soybeans, government figures show. Wheat was fourth, behind hay.

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