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Why This Wheat-Focused ETF Is Suddenly On The Radar Of Retail Investors

Benzinga2022-03-04

Teucrium WheatFund(NYSE:WEAT) — a wheat-focused exchange-traded fund (ETF) — is seeing high interest from retail investors.

What Happened:WEAT was the fifth-most discussed stock on Reddit’s r/WallStreetBets forum as of press time early Friday, having attracted 118 mentions.

The ETF is also the third-most discussed stock on Stocktwitz.

Why It Matters:Shares of the ETF touched a new 52-week high of $11.75 on Thursday and gained more than 15% in the regular trading session, even as the major U.S. indices closed lower.

The ETF’s gains come as wheat and corn prices have surged along with other commodities amid Russia’s invasion of Ukraine stoking fears about inflation due to tighter global supplies.

Russia is the world’s largest wheat exporter.

Ukraine accounts for about 12% of the global wheat export market and is estimated to supply 16% of the world’s corn exports this year, as per a report by Al-Jazeera, citing the United States Department of Agriculture.

Wheat prices have surged to the highest level since 2008. Wheat futures jumped by the exchange limit in Chicago, rising 6.6% to $12.09 a bushel, as per a report by Bloomberg on Friday.

Price Action: WEAT closed 15.6% higher in Thursday’s regular trading session at $11.11 and further rose 11.1% in the after-hours session to $12.35.

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

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Comment7

  • muiee
    ·2022-03-07
    Commodities spike during geopolitical crisis and in this case both Russia and Eukraine are top 10 producers of wheat, so naturally this would spike up. With sanctions on Russia, there might be worries of supply. China been the largest producer might use it as form of weapon?
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  • yong168
    ·2022-03-06
    [強] 
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  • Big Money
    ·2022-03-06
    Noted tks
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  • Liuliusg
    ·2022-03-05
    Noted
    Reply
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  • JQC
    ·2022-03-04
    Interesting stock [Claw] 
    Reply
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  • KAHHUAT
    ·2022-03-04
    Latest
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  • Tigermanic
    ·2022-03-04
    Well done
    Reply
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