As I mentioned on last week’s blog, I took the long position in 2013 March wheat for this week’s trading. I predicted that wheat price would increase during that non-harvesting period because Russia, one of the main exporters of wheat, has been suffering from drought. The president of the Russian Grain Union announced that only half amount of the last year’s export, which is about18-20 million tons, would be exported. Severe dry weather lowers wheat production in Russia as well as in USA. It was also predicted that wheat harvest outputs would shrink in Australia. This week’s trading did go well as I expected it to be; I gained $1550. Honestly, I was going to do offset earlier because wheat price had decreased for first several days of this week. Wheat future price fell due to forecast for rain that will boost the winter wheat production. But, wheat price dramatically went up as soon as after USDA released the report that stockpiles of corn and wheat will shrink due to drought. Therefore, I did offset my long wheat position on Friday, the day the report was released, and trading was successfully done with large gains.