CancelPost Comment

Why no comment on demand/consumption? 11/05/2011 @ 9:59pm Without a comparison the commentary reveals very little. Ending stocks up only 3% is fairly important considering the issue of production that I think is overplayed in comparison. It is a diversion from future developments. Regarding Egypt purchasing Black Sea wheat vs US wheat. The pattern has been established that as long as Black Sea wheat is available at minimally acceptable standards that is what Egypt buys. It is a completely rational outcome considering proximity and the fact that US wheat is generally a quite different quality than what the Black Sea sells to Egypt. In reducing it to the idea of competition the real issues are discounted. In fact competition is not really the dynamic. The essential view considers that when prices are high the US generally exports more. Understanding why this is results in a better analysis of what is going on now. 'Competing' implies we are not selling cheap enough, but in fact, if we sold for less now - so would the 'competition' - resulting in no net gain for US farmers.

Report Abuse Reply
MORE FROM LOUISE GARTNER more +

Wheat Quality Story Builds By: 08/18/2014 @ 11:24am As the news seems to be improving in the Black Sea Region Monday, most of last week's wheat…

Early Wheat Rally Fades Late By: 08/08/2014 @ 3:46pm Early in the week we saw wheat prices surge higher, only to lose much of those gains as the week…

Wheat Bounces Along at the Bottom By: 07/28/2014 @ 1:55pm Wheat spent most of the week in a sideways, choppy trade. Normally, seasonal lows would be…

MEDIA CENTERmore +
This container should display a .swf file. If not, you may need to upgrade your Flash player.
Markets Finish Mixed