Commodities Wrap: Wheat and rice

A U.S. Department of Agriculture report Friday showed farmers received lower prices for wheat in May _ good news for food makers who have struggled for months to pay record-high prices for the grain.

According to the report, which comes out once a month, farmers were paid $8.80 per bushel for wheat in May, down about $1.20 from April's price.

The price is still well above the year-ago amount for the bushel, however.

Food makers like General Mills Inc. and Kellogg Co. have had to raise prices to keep up with record-high costs for the grain.

General Mills shares rose 3 percent this week to close at $63.20 while Kellogg shares climbed 2 percent to close at $51.81 on Friday.

Rice futures also fell during the week, hitting a two-month low Wednesday of $18.45 per 100 pounds on the Chicago Board of Trade.

Rice prices have jumped 80 percent in the past year on fears of a supply shortages. The high prices have sparked food riots in poor countries, particularly in Asia and Africa.