Wheat futures tumbled the most in four weeks on speculation that demand will decline for U.S. commodities after the nuclear crisis escalated in Japan. Japan, the second-biggest buyer of U.S. wheat last year, raised the severity rating of its nuclear crisis to the highest level after more earthquakes struck the country and radiation from a damaged power station increased. The Reuters/Jefferies CRB Index of 19 raw materials fell the most in four weeks as U.S. Treasury bonds rose. “We’re seeing some safe-haven buying come back into U.S. Treasuries, and wheat’s getting shortchanged, given the crop conditions we have,” said Mike Zuzolo, the president of Global Commodity Analytics & Consulting in Lafayette, Indiana. Wheat futures for July delivery slid 38.5 cents, or 4.6 percent, to $7.9325 a bushel at 10:15 a.m. on the Chicago Board of Trade. A close at that price would be the biggest drop since March 15. Before today, the price gained 9 percent this month as dry weather in the U.S. Great Plains threatened developing crops. Japan was struck by two earthquakes stronger than magnitude 6 today, hindering recovery efforts as workers were temporarily evacuated. The March 11 quake and tsunami left 27,500 dead or missing, according to Japan’s National Police Agency. The U.S. is the world’s leading wheat exporter. Nigeria was the biggest buyer last year. Wheat is the fourth-biggest U.S. crop, valued at $13 billion in 2010, behind corn, soybeans and hay, government data show. To contact the reporter on this story: Whitney McFerron in Chicago at wmcferron1@bloomberg.net To contact the editor responsible for this story: Steve Stroth at sstroth@bloomberg.net

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