Market analysts say the deals Ukraine and Russia signed with Turkey and the United Nations to export grain could push world wheat prices downward. An estimated 10 to 20 ships were in Black Sea ports. Those ships will be able to load and depart quickly because the wheat has already been sold.
The agreements will last 120 days and seem mostly focused on the ships that have been trapped since the war began, not necessarily on loading out new grain. The day the deals were announced, wheat futures dropped 50 cents, then rebounded about 40 cents. Soft white wheat ranged from $8.90 to $9.35 per bushel on the Portland market last week.