Prices for wheat continued exploding higher this week, led by Minneapolis spring wheat, which hit a three-year high on Friday.
The spring wheat crop is especially threatened by widespread drought in the northern Great Plains, where that wheat is predominantly planted. Temperatures next week could soar over 100 degrees in North Dakota, exacerbating crop stress in the largest spring wheat producing state.
On Friday morning, the USDA released its most recent data on U.S. crop plantings this year, which showed substantially less spring wheat planted than expected.
Minneapolis wheat is especially prized for its protein content, and threats to this year’s production are giving that crop an increasingly large premium over the Kansas City and Chicago wheat contracts. As of midday Friday, Minneapolis wheat traded as high as $7.80 per bushel, while KC and Chicago wheat topped out near $5.10.