After starting April at a contract low $4.61/bu. on April 5, Kansas City Board of Trade wheat prices rallied progressively throughout the month, blowing through the $5 level on the 15th, topping $5.10 the 23rd, and finishing April at $5. As combines begin to roll in south Texas, growers will be monitoring wheat markets in Kansas City, Chicago and Minneapolis to determine when they should market all or a portion of their crop.
As in the past, a lot of factors have and will continue to determine wheat and other grain prices. James Welch, Texas AgriLife Extension economist, points out that while the U.S. dollar’s value increased in late April, grain prices were also up. “The market likely benefited from net buying by hedge funds and index funds,” says Welch, noting that the number of net longs held by both classes increased by 48,458 contracts the week ending April 16.
At the same time growers are pondering when to price some of their wheat, many are seeing stripe rust threaten their fields. As winter wheat harvest progresses, there will no doubt be other production hurdles to clear. So it’s essential to follow your regional Extension wheat specialists’ advice on how to manage disease, weed and insect problems.
Reports of stripe rust and other problems are also being covered as they happen by Delta Farm Press, Southeast Farm Press, Southwest Farm Press and Western Farm Press enewsletters. Subscribe to them at http://deltafarmpress.com/, http://southeastfarmpress.com, http://southwestfarmpress.com and http://westernfarmpress.com.
Corn & Soybean Digest (CSD), will also report on situations impacting production and prices for wheat and other grains. Up-to-the-minute wheat and other commodity prices may also by tracked on our Web site. The editors of CSD thank you and our sponsor, DuPont Crop Protection, for supporting eWheat and encourage you use our many resources to help get the most out of your wheat crop.