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Wheat futures at the Chicago Board of Trade climbed to a one-week high on Wednesday on spillover buying from strong gains in corn and soy, traders said. Pit sources said the focus was on the volatile weather market in the row crops and there was very little independent fundamental strength in the wheat pit. CBOT wheat was up 1 to 4-1/4 cents per bushel. July was up 4 at $3.20 per bushel.
FIMAT Futures was the main buyer of 600 July, pit sources said. Some harvest slowdowns in the Plains HRW wheat crop also may be giving the market a bit of support but there are outlooks for much better harvest weather soon. Harvesting of the US Plains hard red winter (HRW) wheat crop should soon gain speed amid drier and hotter weather, a private forecaster said Wednesday.
USDA also said 51 percent of the crop was in good to excellent shape, up from 48 percent a week ago and above the 42 percent good to excellent rating of a year ago. Technical support in the July contract was at $3.07-1/2 per bushel. Resistance at $3.20-1/2 was broken, driving the contract to a session high of $3.23-1/2.

Copyright Reuters, 2005

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