US wheat futures closed mostly lower on Tuesday, with traders saying the market felt toppy after hitting multi-month highs in recent days. Positioning was noted ahead of closely watched US Agriculture Department supply and demand reports set for release on Thursday.
Both Chicago Board of Trade soft red winter wheat, which hit a six-week high on Monday, and K.C. hard red winter wheat, which matched a 4-1/2 month high hit on Monday, closed lower. But the front-month MGEX spring wheat contract posted a higher close and touched its highest since July 21, 2015. Deferred MGEX contracts ended in negative territory. A substantial snow layer has protected Ukrainian winter crops from severe frosts which came last weekend, according to analyst UkrAgroConsult. Additionally, some rains were forecast for key growing areas of the US Plains, which will benefit the dormant hard red winter wheat crop there.
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