Chicago wheat futures were up on Thursday due to the conflict between Russia and Ukraine as well as the dry weather that threatens yields in China, the top grain consumer.

Prices of corn and soybeans both rose, while prices for corn fell.

One trader in Singapore said, "Ukraine hit Russia and fears of an escalation are supporting wheat prices."

As of 0319 GMT, the most active wheat contract on Chicago Board of Trade rose by 0.6% to $5.46-1/4 per bushel. Corn rose 0.3% to $4.40 per bushel while soybeans fell 0.1% to $10.44.

The hot, dry weather in parts of China's Wheat Belt has been a major problem. Near-record temperatures are threatening to lower yields.

Ukraine has intensified attacks on Russian targets. In a phone conversation with Donald Trump, the U.S. president, Vladimir Putin, told him that Moscow must respond. This heightened concerns over grain supplies.

The Ukrainian producers' union UAC announced on Wednesday that Ukrainian corn exports will fall from 2 million metric tonnes in May to just 1 million metric in June, because Ukraine-origin is less competitive than its American equivalent.

The Midwest region of the United States is experiencing a favorable weather pattern, and farmers are finishing their planting.

Commodity funds bought corn, soybean, wheat and soymeal contracts at the CBOT on Wednesday, and sold soyoil contracts. (Reporting and editing by Mrigank Dahniwala, Alan Barona, and Naveen Thural)

(source: Reuters)