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Wheat futures at the Chicago Board of Trade were higher early on Friday as drought continued to threaten the US Plains winter wheat crop, traders said. "You can't sell it until it rains," a trader said, referring to the hesitancy to sell short the wheat futures markets.
There were forecasts for rain next week in the US Plains winter wheat region, but the heaviest rainfall may miss the largest and driest acreage areas, forecasters said.
Drought has been stressing the crop and agronomists on Thursday said some of the crop may not be rejuvenated by the rainfall.
At 10:11 am CST (1611 GMT), CBOT wheat was up 3/4 to 1-1/2 cents per bushel, with March up 1-1/2 at $3.70-1/2 per bushel. May was up 1-1/2 at $3.82.
CBOT wheat traders said soft red winter futures contracts traded in Chicago were following the 3 to over 4 cent advances in Kansas City hard red winter wheat futures.

Copyright Reuters, 2006

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