Source: APKinform (Ukraine)
In October-December this year, the impact of the La Niña weather phenomenon is expected to intensify, which could become a catalyst for the rise in global wheat and corn prices, which are at four-year lows, reports Investing Pro.
Currently, there is a 70 percent chance that La Niña will unfold between October and December 2024, and a 50 percent chance that it will have a moderate impact on the agricultural sector.
It should be noted that the impact of the last La Niña cycle in the 2022/23 marketing year resulted in significant production declines for corn (-9.1% year-on-year) and wheat (-9.5%) in the US.
While several forecasts for the 2024/25 season point to a continued decline in prices, changes in weather patterns could reduce harvest potential in key production regions in the coming months.