Follow world politics to predict wheat prices

So, as wheat producers it’s key to develop an understanding of the factors driving world markets. The last time we saw a significant rally in Chicago wheat futures was in late October and the very earliest days of November. Since that date, wheat prices have recovered partially due to a combination of factors including funds short covering, a technical reversal, and ice on the US winter wheat crop. Take for example, that U.S. $2 per bushel swing in Chicago wheat futures prices as the UN negotiated a deal with Russia to enable Ukrainian exports. What we need to be keenly focused on as we look for opportunities to price wheat is the potential for more anxiety in the Black Sea region.