CBOT wheat rises as USDA cuts supply outlook, Russia eyes export curbs
- CBOT March soft red winter wheat gained 13-1/4 cents to end at $5.96-1/2 per bushel.
- K.C. March hard red winter wheat rallied 12-1/2 cents to $5.63-1/2 a bushel and MGEX March spring wheat rose 7 cents to $5.62-1/2 a bushel.
CHICAGO: Chicago Board of Trade wheat futures posted strong gains for a second straight session on Thursday after the US Department of Agriculture (USDA) cut its supply outlook by more than expected and as Russia ponders export curbs, traders said.
CBOT March soft red winter wheat gained 13-1/4 cents to end at $5.96-1/2 per bushel. The contract broke through technical chart resistance at its 20-day moving average but failed to breach its 30-day moving average.
K.C. March hard red winter wheat rallied 12-1/2 cents to $5.63-1/2 a bushel and MGEX March spring wheat rose 7 cents to $5.62-1/2 a bushel.
The USDA cut its US and global wheat stocks outlook by more than expected in a monthly report on Thursday.
Russia is considering imposing a grain export quota and wheat export tax for Feb. 15-June 30, following President Vladimir Putin's criticism of rising food prices, sources told Reuters.
Better-than-expected weekly US wheat export sales also underpinned futures on Thursday. The USDA said exporters sold 616,519 tonnes of US wheat last week, above forecasts for 200,000 to 550,000 tonnes.
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