US wheat futures plunge over 4pc weekly on technical selling, weak export sales

CHICAGO (Xinhua) – Chicago Board of Trade (CBOT) agricultural futures settled mixed for the trading week which ended last Friday, with wheat futures dropping over four per cent on investors’ technical selling and weak export sales.

The most active corn contract for December delivery was down 6.75 cents, or 1.7 per cent week on week, to close at USD3.91 per bushel last Friday. November soybeans were down two cents, or 0.21 per cent, to settle at USD9.34 per bushel. December wheat was up 24.25 cents, or 4.77 per cent, to close at USD5.3225 per bushel.

CBOT soybean futures ended higher last Monday, supported by fears that wintry weather over the weekend threatened United States (US) Midwest production at a time of tightening soybean supplies.

Wheat futures firmed on short-covering and worries about frosty temperatures in the US plains wheat belt.

CBOT agricultural futures closed lower last Tuesday, with soybean futures falling slightly despite weather concerns.

Soybean futures dipped on weak export demand from overseas markets. But the declines were limited by fears that wintry weather threatened US Midwest production at a time of tightening soybean supplies.

Wheat futures weakened on profit taking, and stiff competition on the export market.

CBOT agricultural futures closed mixed last Wednesday, with wheat futures rising on technical buying.

Wheat futures climbed on technical buying and news that Egypt, a top global importer, bought 405,000 metric tonnes of wheat in its latest international tender.

Corn and soybean futures fell on uncertainty of export prospect, along with pressure from the expanding US Midwest harvest.

The US Department of Agriculture (USDA) last Tuesday said the US corn harvest was 22 per cent complete and the soybean harvest was 26 per cent complete.

CBOT agricultural futures settled higher last Thursday, with wheat futures rising over two per cent on investors’ short covering.

Wheat futures hit their highest level in nearly three months last Thursday as signs of rising global wheat cash prices prompted a round of short covering.

Corn futures were supported by technical buying following two straight days of declines. Slow US harvest, expectations that weekend storm may have damaged the crop and lowered yield potential add to the bullish tone.

Soybean futures firmed on technical buying and trade optimism.

CBOT agricultural futures settled mixed last Friday, with corn futures falling on weak export demand as well as pressure from ongoing harvest in the US Midwest.

Private traders last Friday reported to the USDA export sales of 368,600 metric tonnes of corn for the week ending last Friday, down 48 per cent form the prior four-week average.

The USDA said export sales of US wheat totalled 395,100 metric tonnes, down 24 per cent from the previous week. Soybean futures rallied on fresh crop export to top soy buyer China and investors’ technical buying.

The USDA confirmed sales of 850,500 metric tonnes of US soybeans to China for shipment in the 2019/2020 marketing year.