Spring wheat futures at the Minneapolis Grain Exchange ended flat to firm on Wednesday on a rebound from recent losses and on light commercial buying, traders said. "We're just kind of bouncing up from the losses we had late last week and we're seeing some pretty decent commercial buying," a trader said.
MGE wheat closed unchanged to 1-1/2 cents per bushel higher, with May up 1-1/2 at $4.05 per bushel. The market also was supported by the sale of 100,000 tonnes of hard red winter wheat to Iraq for delivery in the current marketing year ending May 31.
The sale, reported by the US Agriculture Department on Wednesday, had been expected by traders following rumours Monday that Iraq was seeking to buy US wheat. There had been talk that Iraq was in the market for 200,000 to 300,000 tonnes.
The sale helped to lift sentiment in the US wheat market which had slumped after Iraq said earlier this month it bought 850,000 tonnes from Australia and Canada and just 150,000 tonnes from the United States. Iraq had said it would buy another 500,000 tonnes from Canada.
Traders said wheat futures were recovering from a recent slide to two-month lows under pressure from improved weather conditions in the Plains hard wheat growing region. Recent rain and snow were expected to improve crop prospects.
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