GRAINS-Wheat extends gains on war and weather risks

ReutersDec 24, 2025 11:01 AM

Black Sea attacks, cold spell in Russia prompt short-covering
Corn and soybeans firm as dollar and oil also support
Ample global supplies still hang over grain markets

By Daphne Zhang and Gus Trompiz

BEIJING/PARIS, Dec 24 (Reuters) - Chicago wheat rose for a fifth session on Wednesday as worries about war escalation in the Black Sea export zone and severe cold in Russian wheat belts encouraged short-covering before the Christmas break, traders and analysts said.

Soybean and corn futures edged up, with grain markets also drawing support from a falling dollar =USD and a rally in crude oil LCOc1.

Gains remained moderate, with ample global supplies hanging over grain markets after multi-week price lows last week.

The most-active wheat contract on the Chicago Board of Trade (CBOT) Wv1 was up 0.8% at $5.21 per bushel by 1036 GMT, after touching a one-week high.

Russian attacks on Ukrainian ports have reinforced short-covering by investors that typically occurs before the year-end holidays. GRA/

"You have a bit of weather at play as well," a European trader said of the wheat rally, citing the cold in Russia, dryness in the U.S. Plains and mid-harvest rain in Australia.

However, snow cover should initially protect winter wheat from frost damage on Wednesday, Commodity Weather Group said in a note.

Bumper volumes expected from ongoing harvests in Argentina and Australia are set to bolster global supply for the rest of the 2025/26 season.

Russia, meanwhile, confirmed on Friday it will set a grain export quota of 20 million metric tons for February 15 to June 30. That is double the year-ago level and suggests Russia has ample volumes of wheat to ship after a slower than usual start to its export campaign.

CBOT soybeans Sv1 gained 0.5% to $10.69 a bushel. Corn Cv1 added 0.4% to $4.49-1/4 a bushel, just off an earlier three-week high.

In the soybean market, traders remained cautious about the pace of Chinese purchases of U.S. beans under a bilateral trade truce, while forecasters continued to project another record harvest in Brazil this season.

As well as tracking strength in wheat, the corn market remained supported by brisk U.S. exports. EXP/CORN

Prices at 1036 GMT
	Last	Change	Pct Move
CBOT wheat Wv1	521.00	4.00	0.77
CBOT corn Cv1	449.25	1.75	0.39
CBOT soy Sv1	1069.00	5.25	0.49
Paris wheat BL2c1	189.00	0.00	0.00
Paris maize EMAc1	188.25	0.00	0.00
Paris rapeseed COMc1	448.50	-2.50	-0.55
WTI crude oil CLc1	58.53	0.15	0.26
Euro/dlr EUR=	1.18	0.00	0.03
Most active contracts - Wheat, corn and soy US cents/bushel, Paris futures in euros per metric ton

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