Rainstorms in China have sent Chinese traders on a global wheat-buying spree, providing support to global wheat prices at a time when plentiful harvests in the US are driving prices down.
China is on track to import its highest volumes of wheat in nine years during the current crop year, which began on June 1, according to forecasts from the US Department of Agriculture.
Chinese wheat futures prices have been hovering near historic highs for most of this year because of tight supplies and high demand. On Tuesday the September contract for hard gluten wheat on the Zhengzhou Commodity Exchange closed at Rmb2,685 ($438) per tonne, up Rmb5.
China's domestic wheat crop is projected to fall 2-5 percent this year compared to last year because heavy rain has damaged crops, according to analysts.