Wheat Steady Around $4.90 on Outlook for Surging Crop Supplies

Wheat dropped toward the lowest level since 2010 on expectations that global production will climb to a record. Corn fell for a second day as farmers in the U.S., the top grower, start to harvest the biggest crop ever.

Wheat for December delivery lost as much as 0.8 percent to $4.955 a bushel on the Chicago Board of Trade and was at $4.9625 by 10:26 a.m. in Singapore. Prices fell to $4.91 on Sept. 16, the lowest for a most-active contract since July 2010.

Futures tumbled 23 percent in the past year as the U.S. Department of Agriculture predicts global production will climb to a record 719.95 million metric tons. Corn dropped 25 percent in the period and soybeans slumped 27 percent as U.S. output reaches all-time highs, according to the USDA. Increasing supplies are helping cut global food prices, with a United Nations’ index slumping to an almost four-year low in August.

Bloomberg

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