OREANDA-NEWS  During trading on the Chicago Mercantile Exchange, wheat futures for September delivery reached a four-month record, adding more than two percent in a day. At the maximum, the cost of wheat was $ 7.7 per bushel, but at the time of writing, the quotes dropped to $ 7.5 per bushel. This is evidenced by the data of the site.

Prices continue to rise after a sharp jump over the weekend — on June 25, at the top, futures were trading at $7.65 per bushel, having gained 3.2 percent over the day. During the month, prices increased by 29 percent, which was a record pace in 2015.

Bloomberg explains this dynamic by traders' concern about the situation in Russia, which is one of the largest grain exporters in the world. On the evening of June 23, armed columns of the private military company (PMCs) Wagner moved towards Moscow, the authorities assessed their actions as an attempt at a military mutiny. The pressure on the markets is also exerted by the dry weather in the United States, which increases the risks for the wheat harvest this year. The agency notes that the current political situation in Russia may increase concern in the markets about the future of the grain deal. The agreement is due to be extended in mid-July. However, Moscow has repeatedly talked about the futility of extending the deal. Kremlin spokesman Dmitry Peskov explained that the Western partners did not fulfill Russia's requirements, which were the basis for the execution of the grain deal.

Ukraine also stated that the probability that Russia will leave the grain deal in July is 99.9 percent. In the US, they hope that the agreement will be extended.