Wheat futures tumbled in thin holiday trade on Thursday, falling to the lowest level since early July as increasing competition for U.S. wheat exports and growing fears over the global economic outlook drove prices lower.
On the Chicago Mercantile Exchange, wheat futures for December delivery traded at USD5.7950 a bushel during European morning trade, tumbling 2.31%.
It earlier fell by as much as 2.83% to trade at USD5.7738 a bushel, the lowest since July 1.
Wheat prices came under pressure after Egypt said that it agreed to purchase nearly 240,000 tons of wheat at a tender earlier.
Nomani Nomani, vice chairman of the country’s General Authority for Supply Commodities confirmed that 180,000 tons out of the 240,000 purchased were Russian supplies, while the remaining 60,000 could be either Kazakh or Ukrainian wheat.
Speculation that Ethiopia bought 300,000 tonnes of Black Sea wheat also contributed to losses.
Wheat futures have declined in seven of the last ten trading sessions and have lost nearly 9% since the beginning of November, as increasing competition for U.S. exports has been dominating sentiment in recent weeks.
Meanwhile, commodity traders continued to eye developments surrounding the euro zone’s sovereign debt crisis.
Earlier in the day, ratings agency Fitch cut Portugal's sovereign credit rating to BB-plus from BBB-minus, with a negative outlook, putting the country's rating in junk status. The agency cited the country's large fiscal imbalances, high indebtedness and poor economic outlook.
Later Thursday, German, French and Italian leaders were to meet to discuss ways to deal with the region’s worsening financial troubles.
Concerns over the region’s debt crisis intensified on Wednesday after the least successful German bond sale since the launch of the single currency sparked concerns that Germany’s safe haven status could be threatened.
Also Wednesday, ratings agency Fitch warned that France could lose its triple-A credit rating if European Union leaders fail to take action to prevent the crisis from worsening.
Elsewhere on the Chicago Mercantile Exchange, corn for December delivery tumbled 1.7% to trade at a seven-week low of USD5.8838 a bushel, while soybeans for January delivery plunged 2.6% to trade at a 13-month low of USD11.2312 a bushel.
On the Chicago Mercantile Exchange, wheat futures for December delivery traded at USD5.7950 a bushel during European morning trade, tumbling 2.31%.
It earlier fell by as much as 2.83% to trade at USD5.7738 a bushel, the lowest since July 1.
Wheat prices came under pressure after Egypt said that it agreed to purchase nearly 240,000 tons of wheat at a tender earlier.
Nomani Nomani, vice chairman of the country’s General Authority for Supply Commodities confirmed that 180,000 tons out of the 240,000 purchased were Russian supplies, while the remaining 60,000 could be either Kazakh or Ukrainian wheat.
Speculation that Ethiopia bought 300,000 tonnes of Black Sea wheat also contributed to losses.
Wheat futures have declined in seven of the last ten trading sessions and have lost nearly 9% since the beginning of November, as increasing competition for U.S. exports has been dominating sentiment in recent weeks.
Meanwhile, commodity traders continued to eye developments surrounding the euro zone’s sovereign debt crisis.
Earlier in the day, ratings agency Fitch cut Portugal's sovereign credit rating to BB-plus from BBB-minus, with a negative outlook, putting the country's rating in junk status. The agency cited the country's large fiscal imbalances, high indebtedness and poor economic outlook.
Later Thursday, German, French and Italian leaders were to meet to discuss ways to deal with the region’s worsening financial troubles.
Concerns over the region’s debt crisis intensified on Wednesday after the least successful German bond sale since the launch of the single currency sparked concerns that Germany’s safe haven status could be threatened.
Also Wednesday, ratings agency Fitch warned that France could lose its triple-A credit rating if European Union leaders fail to take action to prevent the crisis from worsening.
Elsewhere on the Chicago Mercantile Exchange, corn for December delivery tumbled 1.7% to trade at a seven-week low of USD5.8838 a bushel, while soybeans for January delivery plunged 2.6% to trade at a 13-month low of USD11.2312 a bushel.
