US wheat futures fell in all three major markets on Friday, with Chicago Board of Trade wheat setting a three-week low on technical selling and forecasts for some much-needed rains in the southern US Plains, traders said. Selling in CBOT May accelerated as the contract fell below its Wednesday low of $6.65 a bushel. It found support at its 200-day moving average of $6.58-3/4 and pared losses to settle at $6.69-3/4.
Scattered rains were expected by Sunday in the southern US Plains wheat belt, but amounts should be less than 0.1 inch (0.25 cm). However, another storm system expected at the end of next week could bring wider relief to drought-hit fields, a meteorologist said. Analysts expect the USDA to raise its forecast of US 2013/14 wheat ending stocks in its monthly supply/demand reports next week, according to a Reuters survey.
Higher world wheat prices should prompt Argentine farmers to plant 10 percent more wheat for the 2014/15 marketing year compared to 2013/14, analysts said. For the week, front-month CBOT wheat fell 25-3/4 cents per bushel, or 3.7 percent, halting a four-week rally.
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