Corn and wheat prices in Chicago fell by about 0.7%. Soybean oil, used in biodiesel production, dropped by about 1%, while soybeans traded lower.
The resumption of traffic through the strait could improve access to vital resources for agriculture, helping to ease food inflation threats caused by the months-long war, according to Bloomberg.
Representatives from the two countries will meet in Switzerland on June 19 to formally sign the agreement—a decision that suggests some aspects of the deal may still remain unresolved.
Nevertheless, part of the “war premium” has already begun to decline in agricultural markets in recent weeks, partly due to ample global supplies and lower fertilizer costs. The drop in grain prices on Monday reinforced this trend.
