Wheat futures rose the most in two weeks on speculation that grain demand will rebound after prices this week touched the lowest in 50 months.
Wheat has tumbled 21 percent this year. The U.S. Department of Agriculture forecasts that global harvests will rise to a record 719.95 million metric tons. Egypt, the world’s biggest importer, bought U.S. supplies in a tender on Sept. 20. American and French supplies are becoming more competitive against cargoes from the Black Sea region, Amy Reynolds, a senior economist at the International Grains Council in London, said on Sept. 22.
“Corn, wheat and soybeans are all looking for demand,” Helen Pound, a senior commodity specialist at KCG Futures in Minneapolis, said in a telephone interview. “That’s ongoing. When prices come down pretty dramatically, any end-user that is purchasing for a retail product that is a fixed price, the cheaper, cheaper, cheaper prices just adds to their margins.”
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