Oat futures climbed to the highest since 2008 after jumping the maximum allowed by the Chicago Board of Trade yesterday as a rail backlog slows supplies from Canada, the world’s biggest exporter.
Investors’ 12-year love affair with gold ended in 2013 as they abandoned the precious metal for stock markets in the world’s developed economies, lifting global share prices by the most in four years.
Wheat futures rose to a two-month high after a government report showed improved U.S. sales to China and Brazil. Corn also advanced, while soybeans declined.
Ethanol tumbled after a government report indicated that higher production rates are refilling stockpiles of the biofuel.
Corn futures plunged the most since January after the U.S. said supplies left from last year’s crop climbed to the highest level since 2006.
Ethanol’s discount to gasoline tightened to the narrowest in more than two weeks on below- average inventories for this time of year.
Wheat rose the most in three weeks on signs that demand is increasing from importers including Egypt, the world’s top buyer. Soybeans and corn also gained.
Ethanol strengthened against gasoline for the first time in four days as the summer driving season neared while production costs rose.
Corn posted the biggest gain in two weeks after the Federal Reserve announced a third round of stimulus measures to bolster the U.S. economy, improving prospects for grain demand as a drought erodes output.
Wheat futures fell for the third straight day on lingering concern that cheaper grain from Eastern Europe will erode demand for supplies from the U.S., the world’s top exporter.