Wheat Futures Prices Fall

Wheat Futures and Wheat Inventories

I've been watching this story unfold for the last couple of years, and it's no surprise that so many wheat farmers have plunged into planting more wheat acreage after the great prices in 2008.

The problem is it was those who had wheat in the fields that year which prospered, not the followers you predictably followed up with large plantings which were assuredly going to drive wheat prices down; and they have.

Again wheat prices fell, as the U.S. dollar increased in value, making export demands fall in the U.S.

The drop of 14.75 cents a bushel to $5.045 on the Chicago Board of Trade was the worst since February 3, and there's really nothing in the fundamentals which will change this for wheat or wheat farmers; or wheat investors for that matter, as couple that with strong wheat inventories around the world and there's little out there that could change this situation.

Farmers need to grow something else if they want to generate profits, not follow the herd the year after great prices were attained.

Wheat Futures and Wheat Inventories