Wheat and Corn Futures Continue to Climb

Chicago wheat futures have risen for the fourth consecutive day, driven by concerns over weak winter harvests in Russia. Wheat prices have also increased each week due to reduced production forecasts in Russia, which could disrupt global supplies. The most active wheat futures on the Chicago Board of Trade rose by USD 0,13 to USD 5,59 per bushel.

Traders are concerned that poor conditions of the current winter crops in Russia may force the replacement of these crops with spring crops. With Ukraine's shipping capacity uncertain, analysts worry that disruptions in the Black Sea region could severely impact wheat exports. Last year, Russia and Ukraine together accounted for nearly one-third of global wheat exports.

In addition to wheat, corn futures have also gained, rising for the second day and marking the third consecutive week of increases. The most active corn price stands at USD 4,35 per bushel, reflecting a USD 0,25 rise. This increase is largely driven by Brazil’s strong corn exports, which surged by 36% in November compared to the previous year.

Soybean Market Slows

On the other hand, soybean futures have experienced a decline. The most active soybean futures dropped by USD 0,028 to USD 9,91 per bushel, continuing a downward trend following a previous rally. Government data from Brazil revealed a significant drop in soybean exports for November, down 50% compared to the same time last year.

The U.S. Department of Agriculture reported that 136,000 tonnes of U.S. soybeans were sold to China for delivery during the 2024–25 season. However, despite these sales, soybean prices have yet to recover, reflecting ongoing global supply-demand imbalances.

Global Wheat and Grain Outlook

Argentina's wheat production is expected to surpass earlier forecasts due to better-than-expected average productivity, according to the Buenos Aires Grains Exchange. Meanwhile, Canada’s wheat and oat production is expected to increase, while canola and barley output is expected to fall.

Despite these positive production forecasts, global wheat and grain markets remain volatile, impacted by shifting weather patterns and export restrictions.

Conclusion: Market Trends and Future Outlook

As wheat and corn prices continue to rise, driven by concerns over Russian harvests and strong Brazilian exports, soybean prices may remain under pressure. Traders should keep a close watch on global export trends, particularly concerning wheat and corn from the Black Sea region and Brazil’s grain exports. The market remains uncertain, and staying updated on global developments is crucial for making informed buying or selling decisions.





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