The price of wheat may fall further, global supply is expanding

The price of wheat decreases for the second year. According to projections, global supply is projected will grow by 7.1 percent to 210 million tonnes this year. Beside the oversupply, the declining prices and drought can also cause problems for farmers.

A bushel of  wheat costs an average of 6.38 USD, 4.8 percent below December's trading price. Nick Higgins, analyst of Rabobank International, London expects a large oversupply, so he expects a 5.95 USD wheat price for the fourth quarter. The predictions can be a bit bold because it would be a low point has not seen since 2009 in the price of wheat. (Forrás: XTB Magyarország, Balogh Balázs, profitline.hu)