# Coronavirus likely to drag wheat prices as Chinese demand falls | Analysis & Features | The Grocer

> Wheat prices are expected to fall as coronavirus lockdowns in Chinese cities reduce demand, after a 24% rally since September driven by flooding in the UK and France. The virus is expected to cut more than 1% from China's GDP. China's expected wheat purchases under the phase 1 deal are now uncertain given the 'market conditions' clause.

- Date: 2020-01-30 · published 2020-01-30T12:00:00.000Z
- Category: disease · region China · magnitude medium
- Page: https://feedsoft.ai/events/55119-coronavirus-likely-to-drag-wheat-prices-as-chinese-demand-falls-analysis-and
- Commodities: [Wheat (SRW)](https://feedsoft.ai/c/WHEAT.md), [Soybeans](https://feedsoft.ai/c/SOY.md), [Corn](https://feedsoft.ai/c/CORN.md), [Wheat (HRW)](https://feedsoft.ai/c/KWHEAT.md)

## Why it matters

Lower Chinese demand and uncertainty over purchases under the phase 1 deal weigh on wheat export prices, though European supply stress limits the downside.

## Read by commodity

- WHEAT: bearish ▼
- KWHEAT: bearish ▼

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| WHEAT | 2020-02-26 | [Why have wheat prices taken a turn for the worse? Grain Market Daily \| AHDB](https://feedsoft.ai/events/54640-why-have-wheat-prices-taken-a-turn-for-the-worse-grain-market-daily-ahdb.md) | -0.2% | -4.9% |
| WHEAT | 2020-03-03 | [Farm commodities take hit from coronavirus fears](https://feedsoft.ai/events/5310-farm-commodities-take-hit-from-coronavirus-fears.md) | +6.1% | -1.7% |
| WHEAT | 2020-01-28 | [Coronavirus Fears Prompt Flight to Safety in Commodity Markets - Caixin Global](https://feedsoft.ai/events/8057-coronavirus-fears-prompt-flight-to-safety-in-commodity-markets-caixin-global.md) | -0.5% | +2.7% |
| WHEAT | 2020-02-25 | [Soybeans bounce, corn stabilizes after Monday's coronavirus crash \| Financial Post](https://feedsoft.ai/events/10640-soybeans-bounce-corn-stabilizes-after-monday-s-coronavirus-crash-financial-post.md) | -0.2% | -4.8% |
| WHEAT | 2021-06-16 | [Is Poland’s chicken boom behind its devastating bird flu outbreak? \| Bird flu \| The Guardian](https://feedsoft.ai/events/46577-is-poland-s-chicken-boom-behind-its-devastating-bird-flu-outbreak-bird-flu-the.md) | -8.0% | -12.7% |
| SOY | 2020-02-28 | [China's soy complex demand likely to fall in H1 2020 on coronavirus outbreak: Rabobank \| S&P Global](https://feedsoft.ai/events/10636-china-s-soy-complex-demand-likely-to-fall-in-h1-2020-on-coronavirus-outbreak.md) | +0.3% | -0.7% |
| SOY | 2020-03-28 | [Coronavirus hits already struggling US farmers with drop in prices](https://feedsoft.ai/events/7966-coronavirus-hits-already-struggling-us-farmers-with-drop-in-prices.md) | -3.1% | -6.0% |
| SOY | 2020-02-18 | [India's poultry sales decline amid coronavirus rumors linked to chickens](https://feedsoft.ai/events/54753-india-s-poultry-sales-decline-amid-coronavirus-rumors-linked-to-chickens.md) | -2.2% | -8.1% |

## Sources

- thegrocer.co.uk: https://www.thegrocer.co.uk/analysis-and-features/coronavirus-likely-to-drag-wheat-prices-as-chinese-demand-falls/601554.article

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.