Corn, Wheat Rebound from Last Week's Losses

Posted by Brian Gould Wed, 06 Jul 2011 14:56:00 GMT

U.S. grain futures surged as traders saw signs that foreigners were re-entering the markets after last week’s steep losses.

The U.S. is the world’s largest exporter of corn and wheat, and when futures prices fall, foreign buyers step in to secure the grains they need. Last week, corn sank to 3½-month lows and wheat reached its lowest level in almost a year.

On Tuesday, corn for July delivery climbed 39.75 cents, or 6.2%, to settle at $6.8050 a bushel. The contract wasn’t subject to the typical 30-cent limit on gains at the Chicago Board of Trade because it is expiring next week. Corn for December delivery, the most actively traded contract, rose 15.75 cents, or 2.6%, to $6.1250 a bushel

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