U.S. Wheat Futures Rise Nearly 30% This Year Amid Domestic Drought and High Input Costs

Wheat price futures on the Chicago Mercantile Exchange have risen nearly 30% since the start of the year. S. all-wheat production is forecast at the lowest level since 1972/73.

U.S. wheat exports are down 135 million bushels year-over-year to 775 million bushels. More than 50% of the country and over 62% of the lower 48 states were suffering drought conditions in the week of May 13-19, according to the National Integrated Drought Information System.

-Israeli war with Iran and the resulting blockade of the Strait of Hormuz. Nearly 60% of farmers reported worsening financial conditions due to rising input and fuel costs, and 70% said they were unable to afford all of their fertilizer needs, in a survey released April 14 by the American Farm Bureau Foundation. S.

fertilizer production. The Fertilizer Production Expansion Program was created in 2022 to deliver $500 million in grants to increase domestic output and protect farmers from price increases tied to the Russia-Ukraine conflict.

There is an 82% chance of the world's climate moving from neutral to El Niño from May to July, according to a forecast issued earlier this month by the NOAA Climate Prediction Center.