Soybean prices increased after the USDA revealed stockpiles next year will be a lower-than-expected 170 million bushels due to strong export demand, which should help move the larger-than-expected 3.258 billion bushel harvest this year, Bloomberg reports.
The Teucrium Wheat Fund (NYSEArca: WEAT) jumped 4.4% Friday while CBOT Wheat was down 0.1%. WEAT is still down 23.8% year-to-date. The price disparity could be attributed to the wheat ETF’s holdings, which include second-to-expire CBOT wheat futures, third-to-expire CBOT wheat futures and contracts that expire in December following the expiration month of the third-to-expire contract.
The USDA announced 2014 wheat reserves will total a higher-than-expected 565 million bushels, Bloomberg reports.
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Max Chen contributed to this article.