Grain market lessons: how 'averaging up' can manage growers' risk level

After CBOT wheat rallied from A$340s to A$400/mt in August, learn how growers can spread decisions and manage risk.

Sharp rallies are exciting, but they also create one of the harder decisions in grain marketing. Subscribe now for unlimited access to all our agricultural news across the nation When prices are moving higher, there is always a temptation to wait for a little more. The problem is that nobody knows in advance where the rally will finish, how long it will last or whether a sharp fall is the end of the move or simply a correction before another leg higher. The concern in the current rally has been that it is based on the actions of Ukraine and Russia, and if peace looks on the cards, markets will crash. The recent move in Chicago Board of Trade (CBOT) wheat is a good example. During August, the December 2026 contract moved from the mid-A$340s to above A$400/t before falling back to around A$374/t by September 4. That does not mean the rally is necessarily over. Prices could recover and move higher again. The point is that growers do not need to know the eventual high to make sensible ...