CBOT wheat sinks on profit-taking after hitting 3-1/2 month peak

• The US Department of Agriculture (USDA) said 565,099 tonnes of US wheat was inspected for export last week, within a range of trade estimates.
• Saudi Arabia's SAGO bought 605,000 tonnes of wheat in a tender.

CHICAGO: Chicago Board of Trade wheat futures closed lower for the first time in four sessions on Monday in a profit-taking setback after rising to the highest point in 3-1/2 months, traders said.

CBOT December soft red winter wheat settled down 8-3/4 cents at $5.23-1/2 per bushel after reaching a peak of $5.35 earlier in the session, the highest for a most-active contract since June 28.

K.C. December hard red winter wheat closed down 8-1/4 cents at $4.25-1/2 a bushel while MGEX December spring wheat fell 6-3-4 cents to $5.37-3/4 a bushel.

Wheat futures have rallied in recent weeks on firming global wheat costs and concerns about smaller crops in some key production areas including Australia and Argentina.

Export prices for Russian wheat last week hit their highest level in five months.

Saudi Arabia's SAGO bought 605,000 tonnes of wheat in a tender.

The average price was about $25 per tonne higher than wheat purchased in SAGO's previous tender last month.

The US Department of Agriculture (USDA) said 565,099 tonnes of US wheat was inspected for export last week, within a range of trade estimates.

The USDA is due to release its weekly crop progress report later on Monday. Analysts polled by Reuters expect 77pc of US winter wheat to have been planted as of Sunday.

Spring wheat is expected to be 97pc harvested.