Wheat Falls to One-Week Low as Exports May Not Meet ExpectationsTony C. Dreibus
Wheat fell to a one-week low on speculation that U.S. exports will trail government forecasts for the year through May 31.
U.S. wheat shipments from June 1 through Jan. 10 totaled 13.9 million metric tons, down 13 percent from the same period a year earlier, Department of Agriculture data show. The USDA has forecast shipments at 28.6 million tons.
“We’re barely on track to meet the USDA projections, and I don’t think we’re going to make it,” Dewey Strickler, the president of Ag Watch Market Advisers in Franklin, Kentucky, said by telephone. “The wheat market is tired. It needs some fresh news and we don’t have any.”
Wheat futures for March delivery dropped 0.8 percent to settle at $7.685 a bushel at 2 p.m. on the Chicago Board of Trade after touching $7.63, the lowest since Jan. 14.
In the U.S., wheat is the fourth-largest crop, valued at $14.4 billion in 2011, behind corn, soybeans and hay, government data show.