Chicago wheat falls on Russia-Ukraine peace talk hopes
- The most-traded wheat contract on the Chicago Board of Trade was down 0.21% at $6.05-1/4 a bushel
Chicago wheat prices fell on peace talk expectations between Russia and Ukraine, potentially easing Black Sea grain exports. Other commodities like soybeans and corn saw mixed movements, while fertilizer prices surged.
- Potential easing of Black Sea grain exports due to peace talks.
- Record US soybean crop forecasts and harvest progress.
- Surging US fertilizer prices impacting farmers.
JAKARTA: Chicago wheat fell on Tuesday amid expectations of peace talks between Russia and Ukraine, which could ease exports flow for Black Sea grains.
The most-traded wheat contract on the Chicago Board of Trade (CBOT) was down 0.21% at $6.05-1/4 a bushel at 0234 GMT.
“With pent-up supplies of Russian and Ukrainian grain, if - and that is a big if - we see an end to hostilities, then we could see further pressure on an already relatively bearish market,” said Andrew Whitelaw of Australian agricultural consultancy Episode 3.
The United States will bring together delegations from Ukraine and Russia in Abu Dhabi on November 10-11 to discuss ending Moscow’s war against Ukraine, post-war security agreements and de-escalation, US envoy Steve Witkoff said on Monday.
Soybeans rebounded on Tuesday, gained 0.18% to $12.19 a bushel after hitting a nearly 11-week low in the previous session.
US farmers had harvested 88% of the nation’s soybean crop as of Sunday, slightly ahead of the five-year average, with output forecast to be the biggest US soybean crop in history.
The US Department of Agriculture confirmed private sales of 1,729,740 metric tons of US corn to Mexico and 136,000 tons of US soybeans to China.
Chicago corn was down 0.39% at $4.46-1/2 a bushel.
Fertilizer prices are surging in the United States, as falling exports from Trinidad and Tobago add to a tight global market, raising costs for farmers while adding pressure on food producers facing sky-high diesel prices during the autumn harvest season.
Egypt has strategic reserves of various commodities sufficient for an average of six months, the supply and internal trade minister said in a cabinet statement.
Exports from Argentina’s agricultural sector climbed 157% year-on-year in October to $2.88 billion, the CIARA-CEC grains processors and exporters chamber said on Monday.
Brazilian farmers had planted 53% of the projected area of their 2026/27 soybean crop as of last Thursday, agribusiness consultancy AgRural said on Monday, up from 40% a week earlier and above the 47% at the same time last year.