U.S. wheat fell for a third consecutive session on Friday, as traders continued to book profits after prices rallied earlier this week on India’s export ban and concerns over tightening global supplies.
Corn slipped for a third session in four, while soybeans edged higher for a second day in a row.
The most-active wheat contract on the Chicago Board of Trade (CBOT) Wv1 fell 0.71% to $11.92 a bushel, retreating from near record high levels reached earlier this week.
Corn Cv1 gave up 0.86% to $/2 a bushel, while soybeans Sv1 rose 0.12% to $/4 a bushel.
The conflict between Ukraine and Russia, the world’s two major grains producers and exporters, kept the world grains market underpinned over the past few months. But now, bearish factors including muted demand due to elevated prices have started to lend downward pressure.
“Wheat prices cannot go much higher. No one is buying much at this price, which I think has reached the peak,” said an Asia-based trader who declined to be named.
India is considering allowing traders to ship out some of their wheat sitting at ports after a sudden ban on exports of the grain prevented dealers from loading cargoes, Reuters reported on Thursday.
Russia is seen exporting more wheat in the new marketing season, while Ukraine might be able to ship more of the grains stuck there with help from the United Nations.
Scouts on an annual tour of Kansas wheat fields found the lowest yield potential in the top U.S. winter wheat state since 2018 due to drought.
Asian shares jumped on Friday after China cut a key lending benchmark to support a slowing economy, but a gauge of global equities remained set for its longest weekly losing streak on record amid investor worries about sluggish.
