Investing.com - U.S. wheat futures rallied sharply on Monday to hit a two-week high amid growing concerns over crop conditions in Europe.
On the Chicago Mercantile Exchange, U.S. wheat for September delivery rose to a daily high of $5.4563 a bushel, the most since July 18, before trimming gains to last trade at $5.4413 during U.S. morning hours, up 1.71%, or 9.12 cents.
Europe is a major wheat exporter and competes with the U.S. for business on the global market. Crop losses in Europe could mean increased demand for U.S. supplies, which is the world’s third largest wheat producer and biggest exporter.
Wheat prices fell to $5.1840 a bushel on July 29, the lowest since July 2010, as harvest progress in the northern hemisphere underlined the view of ample global supplies.
Meanwhile, U.S. corn for December delivery tacked on 0.69%, or 2.4 cents, to trade at $3.6460 a bushel.
Corn prices fell to a four-year low of $3.5140 on August 1 as near-ideal crop weather in the U.S. Midwest bolstered expectations for a big harvest this autumn.
Elsewhere on the CBOT, U.S. soybeans for November delivery jumped 1.3%, or 13.6 cents, to trade at $10.7220 a bushel.
Prices of the oilseed slumped to a 45-month low of $10.5400 a bushel earlier in the session as indications of ample global supplies drove prices lower.
Corn is the biggest U.S. crop, followed by soybeans, government figures show. Wheat was fourth, behind hay.