US dollar decline tied to wheat industry recovery
Wheat market predicted to pick up only if the value of dollar falls.
Wheat stocks in the market stunt the recovery of the industry to a 50% chance of a rally, reported John Sanow, market analyst for the Omaha, Neb.-based agricultural business services company DTN in an article in Capital Press.
Based on the June 10 supply and demand report of the U.S. Department of Agriculture, he said the market would pick up only if the value of dollar fell.
He acknowledged the increase in world wheat stocks for last year and this year and added that some countries which had been importing U.S. wheat were producing more which contributes to the decline in exports.