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Wheat reaches 14-year high as Russia-Ukraine conflict reduces supply – SABC News

Future wheat trade in the United States rose higher on Monday, raising its limit as it neared an all-time high. Concerned that global shipments will be disrupted until the disputes between Russia and Ukraine are resolved.

European wheat has already reached record highs as increased sanctions against the West against Russia raised concerns about exports from the Black Sea region. In total, the two countries account for about 29% of wheat exports.

“Nothing has changed,” said Greg Grow, director of agricultural business at Archer Financial Services in Chicago. “We know that Ukraine and Russia will be sorely missed in the wheat sector.

Future agreements on soybeans were also solid, backed by strength in the international vegetable oil market as foreign buyers competed to find a substitute for sunflower oil exports from Ukraine.

But the grain future was weaker, dropping to a 9-1 / 2-year high on Friday after several rains in major South American crops.

At 11:20 a.m. CST (1720 GMT), futures trading in Chicago’s soft red winter wheat rose to 85 cents daily at $ 12.94 a bushel, the highest in 14 years. Wheat’s Highest in History, $ 13.49-1 / 2, was hit on February 27, 2008.

Demand for wheat in the European Union increased last week and is expected to continue to increase as Ukrainian ports are closed and traders are reluctant to trade in Russian wheat.

“With such a sudden surge in other sources, there is concern that some countries will impose export restrictions to prevent their domestic stocks from being sucked away,” the trader said.

The U.S. Department of Agriculture said weekly U.S. export inspections of wheat totaled 343,000 tons, compared to 430,000 tons last week.

CBOT May soybeans rose 1 cent to $ 16.61-1 / 2 per bushel and CBOT May corn fell 8-3 / 4 cents to $ 7.4-51 / 2 per bushel.

Wheat reaches 14-year high as Russia-Ukraine conflict reduces supply – SABC News

Source link Wheat reaches 14-year high as Russia-Ukraine conflict reduces supply – SABC News

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