US wheat futures fell on Thursday as some forecasts called for beneficial rains in the drought-hit southern Plains, traders said. Market also still digesting Wednesday's USDA report in which the government raised its forecast for global 2013/14 wheat stockpiles. Showers this weekend and another event next week could bring much-needed moisture to parts of the southern US Plains winter wheat belt, including central Kansas, a meteorologist said.
KC hard red winter wheat and MGEX spring wheat lost ground to Chicago Board of Trade soft red winter wheat on spreads.
MGEX May spring wheat dipped below $7 for the first time in a month, hitting $6.99-3/4, but settled at $7.01. KC May HRW wheat also set a one-month low. CBOT May wheat pared losses after finding support just below its 200-day average of $6.57-3/4.
Disappointing weekly export sales added pressure, with USDA reporting sales of old-crop US wheat at 41,800 tonnes, a marketing-year low. New-crop sales totaled 349,100 tonnes, above expectations.
Two wheat cargoes purchased by top global wheat buyer Egypt are stuck at Russia's Novorossiisk port after the trade house selling the grain had problems opening the importer's letters of credit, traders said.