Chicago Board of Trade wheat futures shot through the 50-day moving average for May and 100-day average for July, triggering a flurry of fund buying that also lifted Kansas City and Minneapolis wheat. CBOT May closed 33 cents or 6 percent higher at $5.57-1/4 per bushel, breaking the 50-day moving average of $5.38-1/4; July ended 33-1/2 cents higher at $5.70, snapping the 100-day moving average of $5.64.
KCBT HRW May ended up 31 cents at $6.07-1/4 per bushel. MGEX May settled 13-1/2 cents higher at $6.95. Funds bought 10,000 CBOT wheat lots Friday, which is why CBOT wheat led Minneapolis wheat futures, traders said. Wheat may be overbought, which could bring a downward correction in the market Monday, one trader said. Big deliveries of 7,377 lots on the May contract on Friday, following more than 8,000 deliveries on Thursday.
Drier weather during the next five to six days to improve spring wheat seeding conditions in the northern US Plains. Dry weather a concern in Argentina's wheat regions. Canada farmers to reap less wheat, canola-Ag Dept. Japan buys 148,000 tonnes of wheat through tender. Brazil government to sell wheat stocks to boost supply. Britain raises exportable wheat surplus forecast.
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