South African Wheat Price Slides as U.S. Benchmark Slumps 12% During Week

Wheat prices fell for a fourth day in South Africa, the longest streak since September, as U.S. futures headed for their biggest weekly decline in more than two years.

Wheat for May delivery, the most active contract on the South African Futures Exchange, dropped 62 rand, or 2 percent, to 2,985 rand ($430) a metric ton at the 12 p.m. close of trade in Johannesburg.

In Chicago, May-delivery wheat slid as much as 2.1 percent to $7.2525 a bushel in electronic trading today, set for a 13 percent slump this week, the worst performance since December 2008, after the U.S. Department of Agriculture raised global supply estimates.

In South Africa, white corn for July delivery dropped 77 rand, or 4.8 percent, to 1,542 rand. Meal made from the grain is the country’s staple food. Yellow corn for July delivery fell 69 rand, or 4.2 percent, to 1,589 rand a ton. The country mainly uses the grain as animal feed.

Gains or losses for the most active contracts of three additional crops today were as follows. All prices are in rand and the crops are sold per ton:

            Today’s Price   Previous Close   % Change
Sunflowers       4,164          4,165           0.0
Soybeans         3,439          3,509          -2.0
Sorghum          1,580          1,580           0.0

(Source: http://www.bloomberg.com/news/2011-03-11/south-african-wheat-falls-for-fourth-day-as-u-s-benchmark-drops.html)