U.S. grain futures ended Friday’s session mixed, with wheat and soybean prices gaining on the back of data showing strong export demand for U.S. supplies.
On the Chicago Mercantile Exchange, wheat for March delivery jumped 0.9% Friday to settle the week at USD7.7588 a bushel. Earlier in the day, prices rose to a session high of USD7.8062 a bushel.
Wheat prices regained strength on Friday after the U.S. Department of Agriculture said that U.S. farmers sold 647,500 tonnes of wheat last week, beating expectations for sales in the range of 350,000 to 500,000 tonnes.
Despite Friday’s gains, the March wheat contract lost 1.85%, the first weekly decline in three weeks amid easing concerns over crop conditions in the U.S. Great Plains-region.
Wheat futures climbed to a one-month high of USD7.9962 a bushel on Tuesday, before retreating after weather forecasts called for much-needed rainfall in key parts of Kansas and Texas.
Kansas is the largest U.S. wheat grower while Texas is the fourth-largest.
Elsewhere on the Chicago Board of Trade, soybeans for March delivery added 0.35% Friday to settle at USD14.4062 a bushel by close of trade. The March contract rose to a five-week high of USD14.6062 a bushel on Tuesday.
On the week, soy futures tacked on 0.8%, the third straight weekly advance, boosted by recent indications of robust demand for U.S. supplies of the oilseed.
USDA data on Friday showed sales of soybean oil doubled from a week earlier, while soybean-meal surged 76% from a year earlier.
Meanwhile, corn futures for March delivery fell 0.55% Friday to settle the week at USD7.2012 a bushel.
The March corn contract lost 1% on the week, the first weekly decline in three weeks. On Thursday, prices fell to a two-week low of USD7.1462 a bushel
Corn traders continued to monitor weather forecasts and crop conditions in Argentina and Brazil. The countries will harvest their crops during the next three to four months.
Brazil and Argentina are major corn exporters and compete with the U.S. for business on the global market. Upbeat South American crop prospects could reduce demand for U.S. supplies.
In the week ahead, corn and soybean traders will continue to pay close attention to weather forecasts for grain-growing regions in Brazil and Argentina, while wheat traders will monitor temperatures in the Great Plains-region.
Market players will also focus on the USDA’s weekly exports data on Thursday.
Corn is the biggest U.S. crop, followed by soybeans, government figures show. Wheat was fourth, behind hay.
