Wheat futures rise over 1% as dollar dips

Wheat futures rose over one percent in American trade as the dollar index lost ground, following a basket of data and developments from the US, the world's second largest wheat exporter, including Federal Reserve Chair Janet Yellen's testimony on the US economic outlook before the Joint Economic Committee of Congress, in Washington DC.

As of 09:40 GMT, wheat futures due on March 15 rose 1.28% to $4.3475 from the opening of $4.2975, while the dollar index shed 0.06% to 93.21 from the opening of 93.27. 

Earlier US data showed the GDP grew 3.3% in the third quarter of 2017 according to the second growth reading in line with expectations, and above the first reading of 3.0%, while the economy grew 3.1% in the second quarter, as GDP prices slowed down to 2.1% from 2.2%

Federal Reserve Bank of New York President William Dudley participated in a panel discussion about current economic issues at Rutgers University, in New Jersey, while other US data showed pending home sales rose 3.5% in October past expectations of a 1.1% rise, and compared to a 0.4% dip in September.

Otherwise, the US Department of Agriculture reported an 8% drop in US wheat exports since the start of the marketing year in June. 

The USDA reported that total wheat exports in the week ending November 16 amounted to just 199.8 thousand tonnes, with Japan at the top with 68.3 thousand tonnes, then Algeria at 62.0 thousand, and Mexico at 42.7 thousand, then Morocco, Singapore, and Philippines at 30.0K, 21.0K, and 13.7K respectively. 

Otherwise, the US Department of Agriculture reported earlier this month that wheat inventories could reach 935 million bushels, down from 960 million in previous forecasts, while analysts put them at 957 million, while the USDA raised exports projections by 25 million bushels to $1.0 billion due to recent red winter wheat sales to Iraq.