CBOT wheat rallies on short-covering, technical buying
CHICAGO: Chicago Board of Trade (CBOT) wheat futures rallied more than 4% on Friday in short-covering and technical buying amid concerns about rain-damaged winter crops and stalled spring wheat seeding due to rains.
* CBOT July soft red winter wheat settled 19-1/4 cents higher at $4.89-1/2 per bushel. Buying accelerated as the contract broke through chart resistance at its 100-day moving average.
* For the week, July CBOT wheat gained 5.3%, a second straight weekly gain following five straight weekly declines.
* K.C. July hard red winter wheat ended up 16-3/4 cents at $4.42 a bushel, while MGEX July spring wheat ended up 13-3/4 cents at $5.48 a bushel.
* Wet weather in the northern Plains is expected to continue to impede spring wheat planting.
* Heavy rain across the southern Plains wheat belt could damage or drown some of the developing hard red winter wheat crop.
* US markets will be closed on Monday for the Memorial Day holiday. Weekly US Department of Agriculture crop conditions and planting progress data is due for release on Tuesday.