Investing.com – Wheat futures rose sharply on Monday, hovering close to the previous session’s two-week high after European leaders indicated progress on resolving the region’s debt crisis, while lingering concerns over U.S. winter-wheat crop conditions also lent support.
On the Chicago Mercantile Exchange, wheat futures for December delivery traded at USD6.4262 a bushel during European morning trade, jumping 1.62%.
It earlier rose by as much as 1.95% to trade at a daily high of USD6.4688 a bushel. Wheat futures rose to USD6.4925 a bushel on Friday, the highest price since October 12.
At the conclusion of a series of weekend meetings in Brussels by European leaders on Sunday, German Chancellor Angela Merkel and French President Nicolas Sarkozy said that a broad agreement is taking shape in resolving the euro zone’s debt woes.
The plan includes measures to recapitalize European lenders, to restructure Greece's sovereign debt and to boost the powers of the euro zone's bailout fund, the European Financial Stability Facility.
A comprehensive response to the two-year old sovereign-debt crisis was expected to be unveiled at a follow-up meeting of EU policy makers on Wednesday.
Wheat prices found further support after industry weather group MDA Federal said over the weekend that it expected mostly cool and dry weather across major U.S. wheat-growing states through the end of October.
The U.S. is the world’s third largest wheat producer and biggest exporter of the grain.
Meanwhile, agribusiness financial service provider Rabobank said in a report earlier that agricultural commodities were “primed for a bounce” in the near-term, as the “significant sell-off” in farm commodities since late August has left grain prices “below fair value”.
Elsewhere on the Chicago Mercantile Exchange, corn for December delivery jumped 1.49% to trade at USD6.5925 a bushel, while soybeans for January delivery rose 1.25% to trade at USD12.3663 a bushel.
Later in the day, the U.S. Department of Agriculture was to publish its weekly crop progress report, which will provide an indication on how U.S. crops fared over the past week.
On the Chicago Mercantile Exchange, wheat futures for December delivery traded at USD6.4262 a bushel during European morning trade, jumping 1.62%.
It earlier rose by as much as 1.95% to trade at a daily high of USD6.4688 a bushel. Wheat futures rose to USD6.4925 a bushel on Friday, the highest price since October 12.
At the conclusion of a series of weekend meetings in Brussels by European leaders on Sunday, German Chancellor Angela Merkel and French President Nicolas Sarkozy said that a broad agreement is taking shape in resolving the euro zone’s debt woes.
The plan includes measures to recapitalize European lenders, to restructure Greece's sovereign debt and to boost the powers of the euro zone's bailout fund, the European Financial Stability Facility.
A comprehensive response to the two-year old sovereign-debt crisis was expected to be unveiled at a follow-up meeting of EU policy makers on Wednesday.
Wheat prices found further support after industry weather group MDA Federal said over the weekend that it expected mostly cool and dry weather across major U.S. wheat-growing states through the end of October.
The U.S. is the world’s third largest wheat producer and biggest exporter of the grain.
Meanwhile, agribusiness financial service provider Rabobank said in a report earlier that agricultural commodities were “primed for a bounce” in the near-term, as the “significant sell-off” in farm commodities since late August has left grain prices “below fair value”.
Elsewhere on the Chicago Mercantile Exchange, corn for December delivery jumped 1.49% to trade at USD6.5925 a bushel, while soybeans for January delivery rose 1.25% to trade at USD12.3663 a bushel.
Later in the day, the U.S. Department of Agriculture was to publish its weekly crop progress report, which will provide an indication on how U.S. crops fared over the past week.