The price of wheat futures hiked to 4-week high in Chicago as investor expected U.S. to cut its estimate of domestic and global grain supply. Meanwhile, the corn and soybean inched down on strengthened dollar.
The most active corn contract for December delivery dropped 2.5 cents, or 0.4 percent, to 5.8515 U.S. dollars per bushel. December wheat hiked 7.5 cents, or one percent, to 7.3615 dollars per bushel. November soybean declined nine cents, or 0.7 percent, to 12.645 dollars per bushel.
The U.S. Department of Agriculture (USDA) will publish its report of World Agricultural Supply and Demand Estimates on Tuesday, in which USDA will offer comprehensive forecasts of supply and demand for major U.S. and global crops and U.S. livestock.
Traders said that the market widely expected a cut in the estimate of wheat supply both in U.S. and world. Besides, the dry weather in the U.S. winter wheat belt also helped to move the market higher along with fund buying and evening up.
On the corn market, a trader noted that the corn traded just below last week’s highs, remaining in a narrow range on both sides of Friday’s close in the process. A grain analyst noted that higher prices appear to have softened demand on the export front and possibly also on the domestic front, although this is not likely to be reflected on Tuesday’s report.