Wheat Futures Trading Basics

Wheat futures are standardized, exchange-traded contracts in which the contract buyer agrees to take delivery, from the seller, a specific quantity of wheat (eg. 5000 bushels) at a predetermined price on a future delivery date.

Wheat Futures Exchanges

You can trade Wheat futures at Chicago Board of Trade (CBOT) and NYSE Euronext (Euronext).

CBOT Wheat futures prices are quoted in dollars and cents per bushel and are traded in lot sizes of 5000 bushels (136 metric tons).

Euronext Milling Wheat futures are traded in units of 50 tonnes and contract prices are quoted in dollars and cents per bushel.

Euronext Wheat (No. 405) futures prices are quoted in pounds and pence per metric ton and are traded in lot sizes of 100 tonnes .

Exchange & Product NameSymbolContract SizeInitial Margin
CBOT Wheat Futures
(Price Quotes)
W5000 bushels
(Full Contract Spec)
USD 3,375 (approx. 12%)
(Latest Margin Info)
Euronext Milling Wheat Futures
(Price Quotes)
EBM50 tonnes
(Full Contract Spec)
EUR 700 (approx. 10%)
(Latest Margin Info)
Euronext Wheat (No. 405) FuturesWHT100 tonnes
(Full Contract Spec)
GBP 800 (approx. 7%)
(Latest Margin Info)

Wheat Futures Trading Basics

Consumers and producers of wheat can manage wheat price risk by purchasing and selling wheat futures. Wheat producers can employ a short hedge to lock in a selling price for the wheat they produce while businesses that require wheat can utilize a long hedge to secure a purchase price for the commodity they need.

Wheat futures are also traded by speculators who assume the price risk that hedgers try to avoid in return for a chance to profit from favorable wheat price movement. Speculators buy wheat futures when they believe that wheat prices will go up. Conversely, they will sell wheat futures when they think that wheat prices will fall.

Learn More About Wheat Futures & Options Trading

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