960418

CBOT wheat ends up

CHICAGO: CBOT wheat futures closed higher as the market displayed surprising buoyancy and new-crop July led the way up, traders said.

"There is some rain in the forecast but not much in areas which need it and also they're talking now about insect problems," said Vic Lespinasse of Dean Witter Reynolds.

Industry experts Wednesday said rain expected this weekend in the U.S. Great Plains may be too late for much of the Kansas hard red winter crop. "Some of the fields are 100 percent dead. Rain will not bring them back," said Merle Witt, a Kansas State University research agronomist.

Agronomists this week also cited declining conditions of the U.S. soft red winter crop and indicated many fields would be abandoned or plowed up and seeded to corn, soybeans or sorghum.

Wheat Tuesday was pummeled by profit taking and speculative long liquidation and most conctracts ended down the 20 cent trading limit. Wheat traded Wednesday and will again Thursday trade with expanded 30 cent per bushel limits.

Wheat closed 7-3/4 cents per bushel higher to 10 lower, with May up 4-1/4 at $5.71.-Reuter