Wheat futures on the Chicago Board of Trade rose 2 percent Friday on uncertainty surrounding a weekend referendum in Ukraine's Crimea region, along with forecasts for dry weather in the southern US Plains wheat belt, traders said. The vote being held on Sunday by pro-Moscow authorities is to determine if Crimea will join Russia. Grain traders worried that political tension between the Black Sea grain exporters might eventually disrupt grain shipments.
The 16- to 30-day weather forecast for the southern Plains has turned warmer and drier, MDA Weather Services said, allowing moisture shortages to persist at a time when the region's hard red winter wheat crop approaches its peak water usage. For the week, CBOT May wheat rose 33-1/4 cents per bushel or 5.1 percent, buoyed primarily by fund short-covering amid worries about Ukraine. KC May HRW wheat rose 4.2 percent and MGEX May spring wheat rose 4.1 percent.
The Canadian and British Columbia governments and Port Metro Vancouver announced late Thursday a 14-point action plan to end a labour dispute that has severely impacted operations at Canada's largest port. The two-week work stoppage crippled operations at the city's container terminals, hitting the export of commodities like lumber and specialised grain products.
CBOT March wheat expired at $6.90-1/4 a bushel, up 11-1/4 cents for the day. KC March HRW wheat expired at $7.44, up 13-3/4 cents. MGEX March spring wheat expired at $7.51, unchanged on the day. There were no March deliveries against CBOT soft red winter wheat or KC hard red winter wheat.