With tensions already high following the scrapped Ukraine grain export agreement, Russia’s navy conducted a live fire exercise in the Black Sea — destroying a target vessel with cruise missiles – days after suggesting it could attack any vessels heading to Ukrainian ports.
(Bloomberg) — With tensions already high following the scrapped Ukraine grain export agreement, Russia’s navy conducted a live fire exercise in the Black Sea — destroying a target vessel with cruise missiles – days after suggesting it could attack any vessels heading to Ukrainian ports.
Verbal threats between Moscow and Kyiv have escalated following the Monday’s collapse of the UN-brokered grain deal. Ukraine on Thursday warned that any ships heading to Russian ports may be targets. The Odesa region, home to major seaports, faced a fourth air attack in a week as Kremlin forces look to underline their threat to maritime operations. A grain terminal was damaged in the latest Kalibr missile assault, military authorities said. The renewed risk to global food markets has helped drive up wheat prices up by some 10% this week.
As Russia’s invasion nears the 17-month mark, the US Senate showed bipartisan support for continued security assistance to Ukraine; an overnight vote roundly defeated an amendment that sought to limit aid. Another round of US assistance is likely in the coming days, said National Security Council spokesman John Kirby. Ukraine’s troops have started using US-provided cluster munitions in the nation’s southeast, the Washington Post reported. Kirby said the weapons are already having an “impact on Russia’s defensive formations and Russia’s defensive maneuvering.”
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Coming Up Today
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Markets
Wheat Up More Than 10% on the Week
Wheat is headed for a weekly gain of more than 10% on fears that growing threats to the Black Sea grain trade would curb supplies. Futures edged higher again early on Friday.
The flaring of Black Sea tensions adds to risks in global grain markets, even as extreme weather wreaks havoc on crops across Asia, southern Europe and the US.
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