Wheat futures recovered from Tuesday's 3.5% plunge amid buying by financial investors who were reevaluating the market amid U.S. weather concerns and changes in the world supply outlook. Prices for the grain sharply rose by investors short-covering whom refocusing on dryness in the U.S. Great Plains. Speculation over reduced availability of wheat supplies from Russia also supported the market, with reports that Russian government may raise the prices to farmers who sell crops domestically rather than to export markets spurring hope that the U.S. could see an uptick in export demand as a result."Yesterday's losses were exaggerated, the end user has shown a strong willingness to wait for prices to go lower." Prices for wheat had dropped on Tuesday, after USDA in a key crop report pegged stockpiles at higher levels versus a year earlier, reflecting slow export demand. May wheat surged 16 3/4 cents, or 3.3%, to $5.28 1/2 a bushel.
Soybean prices rose to a one-month high by an uptick in buying interest after USDA forecast a smaller increase in soybean acres this year, than market had anticipated. USDA's estimate for smaller-than-expected growth in domestic soybean stockpiles also prompted short-covering by investors. May soybeans rose 16 1/2 cents, or 1.7%, to $9.89 3/4 a bushel.
Corn prices gained, reviving after tumbling 4.6% in the previous session, on strength in nearby markets and declining rising prices for crude oil. Bargain buying by end-users taking advantage of lower prices to stock up on corn supplies also supported prices. May corn added 5 1/2 cents, or 1.5%, to $3.81 3/4 a bushel.