World wheat prices rose by 10% amid the war between Ukraine and Russia

On February 24, Russia invaded the territory of an independent state – Ukraine-from several directions at once, including Belarus. However, the Ukrainian army is carrying out a powerful resistance to the offensive of ground Russian troops, which the latter did not expect.

The Ukrainian military is highly motivated to defend the motherland, while Russian conscripts do not understand the point of dying under bullets and javelins. An example of heroic resilience and a demonstration of fighting spirit in defending their country, will and democracy yesterday was the battle for Zmeiny island, where 13 border guards were killed, but did not surrender to the Russians.

Western countries yesterday made tough statements against Russia and recognized it as an aggressor, and today they will impose powerful economic and political sanctions against Russian businesses, which will lead to a reduction in oil, gas and grain supplies.

Yesterday, April Brent crude futures at London’S ICE Futures rose 10% to.106/barrel during trading, but after Biden’s statement about sanctions against Russia and measures to increase oil supplies from reserves of other countries, they fell to 1 101.3/barrel, rising in price by 5% per day.

Wheat prices on world stock exchanges rose by 10% amid a decrease in supplies from the two main exporting countries. March futures rose in price:

• for European wheat on Paris Euronext – by 10.2% or 29.5 € / t to 316.5 €/t or 356 € /t (+19.2% for the week),
• for soft winter SRW wheat in Chicago-by 1 18.38 / ton to 3 340.2 / ton (+17%),
• for hard winter wheat HRW in Kansas City-by 1 18.19/ton to 3 353.8 / ton (+16.4%),
• for durum spring HRS wheat in Minneapolis-by 1 10.66/ton to 3 378.5 / ton (+6.8%),
• for Black Sea wheat on the Chicago Stock Exchange – by 1 10/ton to 3 326.5/ton (+2.3%), but demand for it is low due to possible disruption of supplies from Ukraine and Russia.

Egypt’s GASC canceled a tender for the purchase of wheat, as it received only one offer from France amid the war between Ukraine and Russia.

Prices for other cereals and oilseeds slowed growth due to favorable precipitation in Argentina and traders ‘ profit-taking. March futures rose in price on the Chicago Stock Exchange yesterday:

• for corn – by 1.5% to 2 274/ton (+6% per week),
• for soybean oil – by 1.9% to 1 1,588 / ton (+9.2% per week),
• while soybeans decreased by 0.9% to 6 610/ton (+5.7% for the week).

The world no longer believes in the possibility of political agreements with Russia, so Ukraine hopes only that the army will be able to stop the enemy, and the sanctions imposed by Western countries will force the Kremlin authorities to return to the negotiating table.

GrainTrade

Tags: Ukraine, Russia, prices, wheat, war