Wheat prices fall to lowest since 2020 amid oversupply and trade tensions between the US and China

a report by the American company Hightower Report, demand for wheat remains stable, but significant global stocks allow end consumers to take their time with active purchases. At the same time, the Russian consulting agency SovEcon has increased its forecast for wheat production in Russia, which is one of the leading exporters, and in Argentina, a record harvest is expected for MY 2021/22. Trade tensions between the United States and China are also affecting the market, reducing the forecast demand for American soybeans, which puts additional pressure on wheat and corn prices. In particular, on October 9, the Ministry of Commerce of the People’s Republic of China announced the strengthening of control over the export of rare earth metals and technologies, and on October 10, US President Donald Trump announced the increase in tariffs on Chinese goods by 100% from November 1, as well as the introduction of export controls on software. According to the Chinese Customs Service, trade ...