Wheat sheds 2.5% amid intense competition among producers

Wheat futures fell on Wednesday, amid an intense competition between the US and several global producers attempting to obtain the largest market share, in addition to the lingering coronavirus crisis.

The US Department of Agriculture showed in its report on the 2020/21 season an abundance of the global wheat production, which intensifies competition between different countries.

The report showed that countries like Argentina are expected to increase its exports to attract more buyers in the near-term.

The USDA also showed that Australia will harvest the largest amount of wheat in four years this season, thanks to good weather conditions.

Wheat futures (due July) lost 2.5% to settle at $5.01 a bushel, with today's high at $5.14 and the low at $5.00.