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Does U.S. Wheat Production Matter?

Bounce is not out of the question.
Bryce Knorr 
Published: Apr 27, 2009

The U.S. wheat crop faces an uncertain future as April ends, and it's not alone. Question marks abound around the globe, due to falling acreage and weather concerns. But rallies continue to be difficult to muster as the countdown to another harvest looms.

That doesn't mean a bounce is out of the question. However, in the difficult economic environment of 2009, the world may have to face real prospects of declining supplies before the market responds.

Futures on new crop wheat have been rangebound since November, not an unusual occurrence. But the path of least resistance ultimately will be down into harvest unless end users begin to panic and step up purchases.

To read Bryce Knorr's complete weekly wheat review, click HERE.



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