CHICAGO: Chicago Board of Trade wheat futures closed higher on Wednesday, matching this week's one-month peak after the US Department of Agriculture lowered its US 2015 wheat production estimate below trade expectations.
USDA reported US all-wheat production at 2.052 billion bushels, down from 2.136 billion previously and below an average of trade estimates.
USDA also reported US Sept. 1 wheat stocks at 2.089 billion bushels, below an average of trade estimates for 2.149 billion.
USDA's reports overshadowed bearish news that Russia's prime minister signed an order to lower a wheat export tax from Oct. 1. Russian wheat exports have been constrained by the tax, which has prevented exporters from fully benefiting from the weaker rouble and a large grain crop.
CBOT December wheat held above chart support at its 50-day moving average near $5.00 a bushel.
K.C. hard red winter and MGEX spring wheat futures followed CBOT wheat higher.
For the quarter ending Sept. 30, continuous front-month CBOT wheat fell $1.02 a bushel or 16.6 percent.
The European Commission raised its estimate of this year's soft wheat harvest in the European Union, putting the crop at 144.6 million tonnes against 140.6 million seen last month.