Seeking Alpha

Lower wheat prices could filter down to some bottom lines

  • Wheat prices could fall as world reserves are forecast to exceed previous expectations.
  • Global inventories before the start of the 2014 harvests in the Northern Hemisphere will be 2.4% higher than a year ago.
  • Wheat futures for delivery next spring touched their lowest level since June 2012 earlier today.
  • Related stocks: General Mills (GIS), PepsiCo (PEP), Campbell Soup (CPB), Post Holdings (POST), ConAgra (CAG), Ralcorp (RAH), Flower Foods (FLO),  and J.M. Smucker (SJM) could see a minor impact from sustained lower wheat prices. The pricing of the commodity also spills over to affect the costs for companies farther removed from the food industry - including Buffalo Wild Wings (BWLD) and Anheuser-Busch InBev (BUD).
  • Related ETF: WEAT
Comments (0)
Be the first to comment
DJIA (DIA) S&P 500 (SPY)
ETF Tools
Find the right ETFs for your portfolio:
Seeking Alpha's new ETF Hub
ETF Investment Guide:
Table of Contents | One Page Summary
Read about different ETF Asset Classes:
ETF Selector