Hedge Funds Trim Record Bearish Wheat Wager as Demand Climbs
- Speculators reduce net-short position first time in 4 weeks
- USDA trims outlook for world inventories in 2016-17 season
Crusoe wheat stands in a field before harvesting at Bentley Hall Farm in Wickford, U.K., on Monday, Aug. 15, 2016. U.K. wheat and barley exports are set to beat government forecasts for the season that ended in June as a weaker pound and higher corn prices make the country's overseas sales of the grains more competitive.
Photographer: Jason Alden/BloombergThis article is for subscribers only.
There are finally some signs of life in the wheat market.
Prices surged last week by the most in 15 months after the U.S. Department of Agriculture unexpectedly cut its forecast of global inventories. That was fortuitous for some speculators. A day before the Oct. 12 USDA report, funds cut their record bets that prices would drop.