OSU'S Kim Anderson Talks about Wheat Prices Making a Drop This WeekThu, 23 Jun 2022 16:38:30 CDT
This week on SUNUP is Dr. Kim Anderson, Oklahoma State University Extension grain market economist. During this week's edition, Anderson speaks on the wheat market and the drop in prices this week for many commodities.
"Somebody would say they fell out of bed," Anderson said. "In four marketing days, we have probably knocked $1.25 off of wheat prices. That sounds like a lot, and $1.25 is a lot of money for wheat prices to go down, but if you go back to when we have four-dollar wheat, that is really equivalent to going down about 60 cents."
The biggest reason we saw that kind of decline in just a few days, Anderson said, was because of the Russia and Ukraine export of wheat
"Russia announced this week they are looking at a record 31 billion-plus harvest coming on," Anderson said. "Ukraine has reported that they will harvest about 80 percent of their crop. Ukraine is getting storage facilities to store that wheat."
Anderson said there are rumors that Russia is moving wheat. They have wheat that they say they are going to export and put on the world market, but they are having trouble getting vessels, he added.
For Ukraine, Anderson said Turkey plans to help them export.
"Other countries are going to help Ukraine get that wheat out, so that wheat is starting to move on the market and that makes the market nervous," Anderson said. "Who knows what prices are going to do."
Right now, Anderson said wheat is down to $9.75, which is still a good price for wheat.
"I would be staggering that wheat in the market," Anderson said. "You don't know if it is going to go to 12 dollars or if it is going to go to 8."
Whether it be up or down, Anderson said prices will continue to move as we have seen in the last week. Aside from wheat, Anderson added that we saw all commodity prices go down this week.
This week on SUNUP:
• Amanda Silva, OSU Extension small grains specialist, gives an update on how wheat harvest is progressing throughout the state.
• Wes Lee, OSU Mesonet agricultural coordinator, discusses the June heat wave. State climatologist Gary McManus updates the latest drought monitor map.
• Kim Anderson, OSU Extension grain marketing specialist, explains the recent shake-up in the wheat market.
• Laura Goodman, OSU Extension range specialist, gives tips on how to identify and manage one of the most dangerous plants in the country, poison hemlock.
• Mark Johnson, OSU Extension beef cattle breeding specialist, discusses how to manage heat stress in cattle herds.
• Dave Lalman, OSU Extension beef cattle specialist, says even though feed costs are high, the Oklahoma Gold Program could be a net positive for cattle producers.
• Finally, SUNUP heads to Cleveland County for wheat harvest and to meet a fourth-generation farming family.
Join us for SUNUP:
Saturday at 7:30 a.m. & Sunday at 6 a.m. on OETA-TV
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