Markets

CBOT wheat firms as traders cover shorts

Published Updated

CHICAGO: US wheat futures rose on Wednesday on a short-covering bounce, traders said.

Gains in higher-protein K.C. hard red winter wheat and MGEX spring wheat outstripped strength in the benchmark Chicago Board of Trade soft red winter wheat contracts .

CBOT September soft red winter wheat, the most-active contract, found support from early weakness at its 30-day moving average.

CBOT September wheat failed to hold support above its 40-day moving average and closed below session highs. The contract also struggled to break through its weekly high of $4.30 a bushel.

A global supply glut and poor demand for US exports continue to act as drag on US wheat futures, limiting the gains.

Copyright Reuters, 2016