Wheat and corn prices have surged to their highest levels in more than three years, driven by different market pressures including the war in Ukraine and growing concerns over global supplies, CNBC reported.
Wheat futures closed 3.1% higher on Friday at 784 cents per bushel after reaching an intraday high of 790.25 cents, their highest level since 14 February 2023, when they traded at 797.5 cents per bushel.
The grain posted a weekly gain of 12.1% in the week ending 28 August, marking its strongest weekly increase since March 2022.
Overall, wheat futures have risen more than 54.5% since the beginning of 2026 amid escalating tensions between Russia and Ukraine in the Black Sea region.
According to CNBC, corn futures closed 0.6% higher on Friday at 536.5 cents per bushel after reaching 541.25 cents, their highest level since 28 July 2023.
Corn gained 5.5% over the past week and has climbed 15.6% during August, putting it on track for its strongest monthly performance since April 2021, when it rose 19.31%.
The contract has advanced 21.8% since the start of the year, supported by expectations of tighter US supplies and strong demand, while reduced exports from Ukraine have added pressure to global inventories.
The recent rally in corn prices has been driven largely by growing concerns over the size of the US harvest and weaker production prospects. Disruptions to Ukrainian exports have continued to tighten global supply.
"From the beginning of August until now, the general market view is that supply is smaller than we believed at the start of the month," said William Osnato, director of commodity research and data analysis at Barchart.
Grain export disruptions have also pushed prices higher following reports of escalating tensions between Russia and Ukraine in the Black Sea.
Together, Russia and Ukraine account for more than a quarter of global wheat exports. Growing fears of supply chain disruptions in the region have become a major catalyst for the recent increase in grain prices.
Sources: CNBC, CNA
