- Los Angeles Is the Latest City to Consider a Minimum Wage Hike
- Corporate Taxes Are 10 Percent of Federal Revenue, Down from 30 Percent
- 32 Clever Uses for Coffee Filters Other Than Making Coffee
- Report: Students Should Beware of Campus Debit Cards
- Bank Fees Hit New Highs
- The Top-Rated Credit Cards in the US
- Take 5: A Roundup of Reads From Around the Web
- JPMorgan Chase, Other Big Banks Fall Prey to Hackers
Bloomberg reports this year’s wheat crop will be up 4.3 percent to 690 million metric tons, just shy of the biggest crop ever from two years ago.
Analysts think prices will drop by 17 percent, to around $6 per bushel, by the end of the year. That’s not the only good news: the UN expects a record global rice harvest and the U.S. says we’re looking at the largest-ever crops of corn and soybeans. (Beef prices will likely still rise this summer.)
But while snow and lots of rain have eased drought effects, another especially dry summer could change everything. Bloomberg points out wheat averaged about $6.41 between January and May of 2012, then spiked to $9.47 in July. Those seven weeks of drought raised prices more than 50 percent, and it could happen again.
For what it’s worth, though, the market seems to expect it won’t. Bloomberg says, “Hedge funds and other large speculators have been betting on lower prices since December.”