Wheat
Wheat Prices ChartWheat Prices Quote
Wheat prices, which affect products ranging from bread, bagels, pasta, crackers and cereal to paper, cosmetics and adhesives, hit a year high in late May before settling. Nevertheless, July wheat prices for red spring wheat closed at $9.56 a bushel Friday on the Minneapolis Grain Exchange, up from about $8 in mid-March. Ongoing flooding in the upper Midwest continues to delay wheat futures market turmoil. WHEAT prices should remain relatively strong going into 2012, although they are set to drop below the peaks of the past few months, according to a leading market expert. Wheat prices have topped £200/tonne at times in a volatile market in recent months.Buyers of both corn price and coffee prices. wheat and corn have bought enough to cover their immediate needs, so they arent in any hurry to make further purchases, they said. Many wheat importers have pinned their hopes on Ukraine, which may supply cheaper feed wheat and corn later this month, another trader said. The wheat export tariffs on wheat and corn are at 9% and 12%, respectively. South Koreans prefer to buy feed wheat with a test weight of 72--an indication of the quality of the wheat -- which is available from Europe and Canada. Australian feed wheat has a lower test weight, though it can be increased through blending. The trade projected U.S. winter wheat production to be 1.392 billion bushels, down from USDA s May estimate of 1.424 billion bushels. USDA s June winter wheat production estimate was 1.45 billion bushels. USDA projected world wheat prices to be 24.6 billion bushels. USDA wheat prices May estimate was 24.4 billion bushels. Last year’s world wheat prices was 23.8 billion bushels. Record world wheat prices was 25.1 billion bushels in 2009. United States wheat ending stocks for the 2011/12 marketing year was lowered from May’s 702 million bushels to 687 million bushels. The world wheat ending stocks estimate was 6.8 billion bushels. World 2010/11 marketing year ending stocks are projected to be 6.7 billion bushels. No changes were made from May s projected U.S. wheat use. With higher world wheat production and stocks, the projected 1.05 billion bushels exports in 2011/12 may be too high. Russia, which did not export wheat is 2010/11, is now selling wheat for export. During the 2010/11 wheat marketing year, Former Soviet Union countries exported 225 million bushels. USDA s estimate for the 2011/12 marketing year is 452 million bushels. Much of this increase may be at the cost of U.S. exports. It was reported that Russia s first export wheat was sold for $70 per metric ton ($1.90/bu) less than U.S. export wheat. Russia and the FSU countries have a large transportation advantage to Middle Eastern and North African countries. Lower corn stocks will support soft red winter wheat prices and will have a positive impact on hard red winter wheat prices. The projections in the June WASDE report highlight the risk for wheat prices. If, and that is a big IF, world wheat production ends up above current projections, U.S. wheat exports will be lower than projected and wheat prices will decline. The wheat market price trend is normally set in late August and early September. Given production uncertainty, wheat prices will remain volatile. In November, the KCBT December wheat price could easily be $12 or $8. At this writing, the KCBT Dec wheat price is $9.25. Corn prices and wheat prices fell sharply Monday after favorable weather helped crops in parts of the United States and Europe. Wheat settled prices down 3.8 percent, while corn fell 2.9 percent. Corn prices have more than doubled and wheat prices have risen 72 percent from a year ago because of supply concerns. Corn is in short supply globally and wheat stockpiles have grown tighter after a drought damaged at least a third of Russia s crop last summer and the U.S. winter crop was affected by dry conditions. 
 |