U.S. wheat rises 1% to US$7.40 on Aug. 22, hitting two-month high as harvest delays, dry weather keep markets higher; corn, soybeans increase on expectations of lower yields
August 22, 2011
– On the Chicago Board of Trade, front-month U.S. wheat for September delivery rose 1% to US$7.40 per bushel on Aug. 22, hitting the highest prices in over two months as spring wheat harvest delays and dry weather before winter crops are sowed kept markets higher, Reuters reported the same day.
December corn saw a 0.8% gain to $7.3075 a bushel, and soybeans hit the highest point in over two weeks, but finished at $13.7975 a bushel, on expectations of lower yields from the crop belt in the U.S. Midwest amid late plantings and hot weather.
This week, the annual Pro Farmer tour of soybean and corn fields in the U.S. Midwest will have people watching the markets closely as discussions of lower corn yields from bad weather picks up.
Prices are being supported with concerns of U.S. wheat production and poor corn yields, according to Phillip Futures analyst Ker Chung Yang. With August an important moth for soybeans, yields will be better understood after the tour, Yang added.
Planting delays and drought in the U.S. plains, which is causing concern for 2012 winter crop sowing that begins in September, are supporting the wheat market. Corn and soybean crops in the Midwest are expecting rain this week, providing moisture, which will help fill the corn crop and bolster pod-setting soybeans.
The primary source of this article is Reuters, London, England, on Aug. 22, 2011.