Story
Ukraine Proposes Black Sea Shipping Truce to Russia, Source Says

Summary
Kyiv has reportedly offered Moscow a mutual halt to attacks on civilian targets in the Black Sea to safeguard grain shipments, according to a source. The move follows escalating strikes that have slashed Ukraine's exports and roiled agricultural markets.
Ukraine has proposed a truce with Russia to halt all attacks on civilian targets in the Black Sea, a move aimed at de-escalating a conflict that has severely disrupted global food supplies, a source familiar with the matter told Reuters. The offer was reportedly transmitted to Moscow via a third party, and Kyiv is awaiting a response.
Escalating Tensions and Export Collapse
The proposal follows weeks of intensified strikes by both nations on port infrastructure and vessels involved in agricultural exports. Russia's de facto blockade of Ukraine's key Odesa region ports has had a severe economic impact, with Ukrainian grain exports plummeting by 76% year-on-year for the month of August so far.
The constant threat of attack has forced many international shipowners to avoid Ukrainian ports, compelling Kyiv to rely on less efficient alternative shipping routes. Both Russia and Ukraine are major global agricultural producers, and the disruption has stoked fears of renewed food price inflation.
AdMarket Reaction and Diplomatic Context
News of the potential truce had an immediate effect on commodities markets. Euronext September wheat futures, which had been trading higher, reversed course and turned lower following the report.
While Russia has not commented publicly on the specific offer, Deputy Russian Foreign Minister Alexander Grushko stated that Moscow had not received any *formal* proposals for a Black Sea ceasefire, according to Russia’s TASS state news agency. Separately, Turkish Foreign Minister Hakan Fidan confirmed on Saturday that a proposal for a moratorium on attacks had been conveyed to both countries, lending credence to reports of third-party mediation.
Read next
More on Commodities
Wheat Futures Decline on Technical Selling as Crude Oil Weakens
Chicago wheat futures edged lower on Wednesday, pressured by technical selling linked to a downturn in crude oil prices, though losses were limited by ongoing global supply concerns.

Raw Sugar Futures Slip as Declining Oil Prices Weigh on Ethanol Demand
Raw sugar futures edged lower as a drop in crude oil prices made ethanol production less profitable, incentivizing mills to produce more sugar. However, prices found support from forecasts of lower crop yields in key producing regions.

Continental Resources Signs MOU with Venezuela's PDVSA to Develop Orinoco Oil Field
U.S.-based Continental Resources has entered a preliminary agreement with Venezuela's state-owned oil company, PDVSA, to jointly develop a block in the Orinoco Heavy Oil Belt estimated to hold 30 billion barrels of oil.

Soybean Futures Rise on Hopes for U.S.-China Trade Talks
CBOT soybean futures closed higher Wednesday, supported by news of a planned meeting between top U.S. and Chinese officials which has raised expectations for stronger export demand.