# Wheat prices under pressure | VIC

> Wheat futures fell to new contract lows as large US winter wheat stocks and weaker export numbers pressured prices. A surging US dollar added to the downward pressure, and speculators held large net short positions. Australian cash prices also eased, with new lows in New South Wales and Victoria.

- Date: 2016-12-06 · published 2016-12-06T12:00:00.000Z
- Category: market · region US · magnitude low
- Page: https://feedsoft.ai/events/6326-wheat-prices-under-pressure-vic
- Commodities: [Wheat (SRW)](https://feedsoft.ai/c/WHEAT.md), [Wheat (HRW)](https://feedsoft.ai/c/KWHEAT.md), [US Dollar (Broad)](https://feedsoft.ai/c/DXY.md)

## Why it matters

A strong dollar and heavy US stocks keep wheat export prices under pressure, while large fund short positions raise the chance of a sharp short-covering rally. Feed buyers should expect continued pressure with a risk of a sudden bounce.

## Read by commodity

- DXY: bullish ▲
- WHEAT: bearish ▼
- KWHEAT: bearish ▼

## Sources

- stockandland.com.au: https://www.stockandland.com.au/story/4338439/prices-under-pressure/

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