Commodities
Grains Plummet on Peace Deal Rumors, Cattle Futures Surge
Grain markets saw profit taking on Thursday morning as investors responded to news that Russian President Putin may be considering a peace deal with Ukraine, according to Mike Minor of Professional Ag Marketing.
The grain markets had surged to new contract highs on Wednesday but then declined on Thursday due in part to the potential for a peace deal between Russia and Ukraine. However, Minor notes that few people believe this will materialize and fighting continues to escalate.
Minor also pointed out that a Russian announcement to suspend their grain export tax through the end of the year is likely to have a bearish effect on wheat prices.