Wheat futures on the Chicago Board of Trade surged to a multi-year high on Wednesday, hitting the exchange’s daily price limit after reports indicated potential escalation in the Russia-Ukraine conflict.
The most-traded wheat contract rose 45 cents, or 6.4%, to $7.4825 per bushel, the highest level since 2022. The rally followed unconfirmed reports that Russia was considering intensified ballistic missile strikes targeting infrastructure in Kyiv, which heightened concerns over disruptions to Black Sea grain exports.
Corn and soybean contracts also advanced, with corn up 13 cents to $5.365 per bushel and soybeans gaining 28.25 cents to $12.66 per bushel. Corn had earlier reached $5.3875 per bushel, a three-year high surpassed during the session. Soybean prices were supported by continued Chinese purchases and firmer crude oil markets.
The surge in grain prices reflects broader supply chain risks tied to the conflict in Ukraine, a major global supplier of wheat and corn. Recent reciprocal attacks have largely halted grain shipments from Black Sea ports, exacerbating concerns over global supply tightness. The Chicago Board of Trade’s limit-up move in wheat underscored the market’s sensitivity to geopolitical developments affecting key agricultural regions.
The escalation comes amid stalled peace negotiations, according to sources cited by Bloomberg News, with Kremlin-linked figures indicating that President Vladimir Putin had shown no inclination to de-escalate the conflict despite sanctions and Ukrainian strikes on Russian logistics infrastructure.
