Wheat Futures Spike on Conflict-Driven Disruptions
The price of wheat futures has reached its highest level in over a month, driven by concerns about disruptions to grain shipments from the Black Sea due to intensifying Russia-Ukraine attacks.
Russia and Ukraine are among the world's largest wheat exporters, with Russia expected to ship 46 million metric tons this year and Ukraine projected to export 13.5 million tons, according to the US Department of Agriculture.
The conflict has already had an impact on global markets, with US wheat export inspections falling to 425,668 metric tons in the week ended August 20, down from 514,363 tons a week earlier and significantly lower than last year's inspection total of 1.05 million tons.
Meanwhile, the US spring wheat harvest is advancing rapidly, with 62% of the crop in the bin as of Sunday, above the five-year average of 52%.