Chicago Board of Trade (CBOT) wheat futures closed sharply lower on Friday, following plunging corn prices and pressured by improved crop weather in the US Plains wheat belt, traders said. CBOT September soft red winter wheat ended down 19-1/2 cents at $5.27-1/4 a bushel. The contract's 3.6% drop was the steepest daily decline for a most-active contract in four months. September futures were also down for a second straight week, but up for the month after jumping 16 percent in May. The contract also posted a quarterly gain for the first time in four quarters.
K.C. September hard red winter wheat ended down 20 cents at $4.61-1/2 a bushel and MGEX September spring wheat rose 7-1/4 cents to $5.54-1/4 a bushel. Warmer, drier weather in the US Plains over the next week was seen accelerating winter crop maturity and harvesting. Wheat futures were dragged lower by plunging corn prices, which were pressure by the US Department of Agriculture's unexpectedly high estimate for US corn planting.
USDA said US wheat plantings totaled 45.6 million acres, in line with market forecasts. The agency pegged June 1 stocks at 1.072 billion bushels, near trade estimates for 1.1 billion. The CBOT reported no deliveries against the CBOT July contract on first notice day and five deliveries against the K.C. July HRW wheat contract, in line with trade expectations. MGEX reported 862 deliveries against its July spring wheat contract, with the CHS house account stopping 533.