Grain Futures Prices Soar on Russia-Ukraine Tensions
Global grain futures prices surged last week following reports that Russia was considering increasing its missile strikes against Ukraine, dimming hopes for an increase in grain exports from the Black Sea. UK feed wheat futures rose £10.75 to £215.75 per tonne, their highest price yet, while Chicago wheat futures reached a 12-month high of $288.04 per tonne. The Relative Strength Index (RSI) moved into the overbought zone for both contracts, indicating a higher risk of prices changing direction.
The EU Commission cut its forecast of the EU-27 maize crop by 1.8 Mt to 50.1 Mt due to lower yield forecasts, while the Australian government revised up its forecasts for wheat and barley production in 2026/27. Meanwhile, global oilseed prices rose amid worries about the Black Sea situation and US soyabean crops.