The threat of war between Russia and Ukraine is rattling international grain markets, driving wheat prices higher on both sides of the Atlantic and leaving traders girding for more volatility ahead.
The two nations combined account for 29% of global wheat exports, according to data from the U.S. Agriculture Department. The nearby Black Sea serves as a major conduit for international grain shipments and Ukraine is also among the top exporters of barley, corn and rapeseed.
The mounting tensions and growing militarization along the Russia-Ukraine border have helped drive wheat futures traded in Chicago up over 7% over the past two weeks to nearly $8 a bushel Monday—which is just below a nearly decade high of $8.50 a bushel reached last year. Benchmark European wheat futures, which are traded in Paris, have gained almost 6% over the same period to €278, equivalent to $310, a metric…
