USA: Wheat spike of almost 4% on the CBOT also pulls soybean and corn prices this Monday

Published Apr 23, 2024

Tridge summary

On the Chicago Stock Exchange this Monday afternoon, wheat futures saw a notable increase, with prices climbing between 20.75 to 23.25 points for main contracts. This surge was attributed to rising tensions between Russia and Ukraine, alongside concerns about dry weather in the US Plains, a crucial wheat-producing area. These factors, coupled with announcements of reduced wheat area and production by Ukraine and previously by Russia, have fueled speculation about a potential uptick in international wheat prices. In parallel, soybean futures also experienced gains, largely due to a significant rise in soybean oil prices, marking an overall positive trend in the grain markets.
Disclaimer: The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

Wheat futures soared this Monday afternoon (22) on the Chicago Stock Exchange and are pulling other markets along for the ride. Around 1:10 pm (Brasília time), prices rose from 20.75 to 23.25 points in the main contracts, with May being quoted at US$5.73 and September being worth US$6.06 per bushel. The escalation of tensions between Russia and Ukraine gives space to the movement at the beginning of the week. "Russia and Ukraine continued their missile attacks over the weekend, where Russia attacked ports and port facilities and Ukraine, in turn, attacked a Russian oil refinery", explains the general director of the Labhoro Group, Ginaldo Sousa. In addition to the war condition, the market is also monitoring drier weather conditions for the Plains region of the US, the country's main wheat producing area. "This could cause the USDA to downgrade winter wheat crop conditions in today's report," says the Agrinvest Commodities team. "In recent days, concerns about the American climate ...
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