Putin's Escalation Sparks Global Food Crisis Fears

Russia's aggression against Ukraine has led to a surge in wheat prices, with September futures rising by 6.6% to $268.4/t for soft winter SRW wheat in Chicago, and by 3.7% to €236/t or $275/t for soft wheat on Euronext in Paris.

The increase comes after CIA Director William Burns visited Russia and President Putin ordered increased strikes on Ukraine, considering peace talks fruitless, according to sources close to the Kremlin.

As a result of the escalating conflict, traders are now worried about the impact on global food prices, with rising grain prices expected to lead to higher prices for meat, milk, eggs, and oil, increasing the threat of a large-scale global food crisis.