7/10/2023 0 Comments Atomic bomb aftermath![]() ![]() Meanwhile, the Kakhovka Dam’s destruction will further damage Ukraine’s already strained and struggling agricultural sector. These price increases will contribute to tight markets around the world and thus to inflation. Wheat rose 2.4% to $6.39 per bushel, corn by more than 1% to $6.04 per bushel, and oats by 0.73% to $3.46. Concerns about continued supply of these commodities and the possibility of shortages in import markets sent prices soaring as news of the dam’s collapse hit global markets. The Dnieper River is a critical transit route for the export of Ukrainian wheat, barley, corn, rapeseed, and sunflower oil. ![]() Ukrainian grain exports are still more than 40% lower than before the war, leaving little give in supply chains and markets globally. The world was again caught off guard when the Kakhovka Hydroelectric Dam was detonated this week. But in a war that has seen several escalations worthy of global attention-the Bucha massacre, the bombing of a Mariupol maternity hospital, the Azovstal Steel Works siege, the sabotage of Nord Stream, the abduction of Ukrainian children, to name a few-the destruction of the Kakhovka Dam is a shocking development. It is almost impossible for a human in the modern world to maintain attention for this long. Sixteen months into what has become a drawn out slog of numbing trench warfare in Ukraine’s east, many people around the world have dulled to the daily missile and drone counts out of Kyiv and reports of muted counteroffensives. The consequences for agricultural and commodities markets will be inflationary, the fallout could be literally radioactive if the Zaporizhzhye Nuclear Power Plant loses access to water, and the implication is that Russia is inching steadily closer to the unimaginable, possibly even the use of nuclear weapons. The June 6 bombing of Ukraine’s Kakhovka Hydroelectric Dam, almost certainly an act of Russian aggression, is going to affect your life more than you think. ![]()
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