Prices for wheat, corn and soybeans declined on Thursday after having rallied on Wednesday as investors began preparing to wrap up the past year's investments and prepare for 2011, Bloomberg reports.
After scaling nearly eight percent on Wednesday, wheat for March delivery dropped one percent to $7.325 per bushel on the Chicago Board of Trade. Its price was at $7.39 shortly after 2 p.m. Singapore time.
"It's just profit-taking," Tetsu Emori, a commodity fund manager at Astmax Co. Ltd., told Bloomberg. "People have to make money by the end of the year."
March-delivery corn fell nearly one percent to $5.61 per bushel on Thursday, one day after increasing more than four percent higher. Soybeans for January delivery also dipped 0.4 percent to $12.775 per bushel after increasing more than three percent the day prior.
According to Martell Crop Projections, the 2010-2011 season will see reduced amounts of high-quality wheat due to rain damaging Australian and European crops. Russian crops have been damaged by dry weather, according to the crop and weather conditions analyst outfit.
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