Wheat surges

SINGAPORE - Wheat futures advanced for an eighth day, the longest winning streak in more than three years, on concern that record food prices may fuel inflation, prompting governments to boost grain imports.

March-delivery wheat rose as much as 0.8 percent to $8.635 a bushel on the Chicago Board of Trade, the highest price for the most-active contract since Aug 6. The price was $8.6025 at 2:56 pm Singapore time on Thursday.

The United Nations Food & Agriculture Organization Food Price Index surged to a record in December, surpassing the previous high in 2008, on higher costs of grains, sugar and oilseeds. Surging food costs pose a bigger threat to the economies of emerging markets, International Monetary Fund Special Adviser Min Zhu said in Davos, Switzerland on Wednesday.

Bloomberg News

(China Daily 01/28/2011 page17)