CANBERRA - U.S. wheat futures rose 0.5% on Wednesday, although the gains were capped amid expectations that rains across a key growing region were expected to have provided much-needed moisture.

 

FUNDAMENTALS

* * The most-active wheat futures on the Chicago Board of Trade were up 0.5% at $6.58 a bushel a bushel by 0139 GMT, having closed down 1.5% on Tuesday.

* Soybean futures were up 0.5% at $14.01 a bushel, having closed down 1.5% in the previous session.

* Corn futures were little changed at $6.60 a bushel, having closed flat on Tuesday.

* Rains over the weekend were seen boosting crops in U.S. Midwest.

* A U.S. Department of Agriculture (USDA) report that pegged the condition of crops below market forecasts, stoking concerns about global supplies.

 

MARKET NEWS

* The U.S. dollar remained on the back foot against major peers on Wednesday after a two-day drop as U.S. Federal Reserve officials including Chair Jerome Powell reaffirmed that tighter monetary policy was still some way off. 

* Wall Street rebounded Tuesday as Federal Reserve Chairman Jerome Powell vowed not to raise rates too quickly as the dollar and oil gave up earlier gains. 

 

(Reporting by Colin Packham) ((colin.packham@thomsonreuters.com; +61-2 9321 8161; Reuters Messaging: colin.packham.thomsonreuters.com@reuters.net))