Grain markets react strongly to Russian invasion of Ukraine

 

The latest SaskWheat outlook says the Russian invasion of Ukraine has had a major impact on grain markets this past week.

Market analyst Marlene Boersch with Mercantile Consulting says a best case scenario sees Ukraine and Russia out of the export market for months.

The two countries account for close to one third of global wheat exports.

Boersch says wheat markets in the U.S. jumped as much as 3 dollars a bushel last week.

However, this week, wheat markets are down substantially, with Minneapolis wheat down 55 cents a bushel Wednesday to 10 dollars 88 cents a bushel.

Boersch says Hungary has banned the export of all grains and Bulgaria is slowing exports as well.

She says upwards of 12 million tons of Black sea old crop wheat may not make it to market due to the war.

She also says CP Rail workers have threatened to strike on March 16th, which would be a huge blow to Canadian agriculture.

Marlene Boersch of Mercantile consulting compiles the weekly market report for the SaskWheat website.
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