U.S. wheat futures rose 3.1% to their highest level in nearly two months on Wednesday, as Russia’s criticism of a Ukrainian grain export deal revived concerns. on the movement of supplies out of the key Black Sea shipping hub.
* Corn futures retreated after a technical setback after hitting their highest level since June 27 earlier in the session, while soybeans stabilized after falling in five of the previous six sessions.
* President Vladimir Putin said on Wednesday that Russia and the developing world had been “misled” by a UN-brokered Ukrainian grain export deal, vowing to review its terms to limit which countries can receive shipments.
* “Putin has no interest in Ukraine benefiting from big grain sales at a time when his own country’s sales are slow after a big harvest,” said Arlan Suderman, chief commodity economist at brokerage StoneX. , in a note to customers.
* “The revenue helps support Ukraine’s ability to defend itself, which runs counter to Russia’s overall goal.”
* By 1600 GMT, Chicago Board of Trade soft red winter wheat futures for December delivery were up 25.5 cents at 8.425 a bushel.
* Wheat futures have been held back in recent weeks by a growing flow of Ukrainian shipments through the Black Sea corridor, coupled with falling prices for Ukrainian and Russian supplies.
* Moscow’s comments, however, underlined the precarious situation in the Black Sea region as Russia’s six-month invasion of Ukraine continues and Western sanctions against Moscow continue.
* “The market is pricing in worst-case scenarios like the end of the grain corridor,” a European trader said.
* Chicago December contract corn fell 2 cents to $6.74 a bushel and November CBOT soybeans rose 0.75 cents to $13.995 a bushel.
* China’s soybean imports in August fell 24.5% from a year earlier, customs data showed on Wednesday.