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Wheat market slowly turning bullish

An extension grain market economist says a positive shift in wheat prices has gone somewhat unnoticed because of trade disruptions.

Ed Usset with the University of Minnesota tells Brownfield the wheat market is slowly turning from an incredibly bearish scenario that has dominated for nearly five years.

“This year we’re looking at some of the big drivers.  Europe is having a difficult crop, not a disaster but their production will be down.  Russia is coming back down to Earth after two fantastic crops.  And those are your two big exporters right there.”

Usset says wheat crops in Australia, China, and India are expected to be smaller too.

“The environment is turning on wheat, and you know what?  We need something to be positive here.”

Given current prices, Usset expects to see more wheat and fewer soybean acres in the U.S. next year.