Eye on Ag - Price Roller Coaster

A market that was trading just a few pennies a day in difference is now swinging widely to the tune dimes and dollars in just a few days The wheat market is above record highs from the early 1970s and the truth is no one is quite sure were it s going next Larry Raap Grain Marketer It s been a steady upward trend for the last four months It probably went from four and half dollars to eight and a half dollars Grain Merchandiser Larry Raap the turbulence began with several major wheat producing countries coming in well short of their normal harvest Raap With the Australian harvest being short from 21 million tons to 13 million tons seems like everyone in the world had a problem raising a crop this year On top of that news surfaced that Russia might impose a wheat export tax Raap It was a rumor supposedly from 10 to 30 percent A couple days later it was from 30 to 50 percent Now today no we re just going to keep it at ten and the market reflects that Raap says that s why wheat has dropped 60 cents in two days Speculation of what could happen and not what is really happening Which begs the question what lies ahead for the market Raap says it s anyone s guess what the fund traders will do He says the norms are now goes from the market and it s unclear if and when they will return Raap When wheat prices get this high they ll find wheat somewhere It always comes out somewhere if the Price is Right Is it going to three bucks No probably not But it sure could go back to five in a hurry With your Eye On Agriculture Shaun Sipma KX News Raap says about 60 percent of the local wheat crop what marketed before prices climbed to their recent highs