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Energy underpins the wider commodities markets

  • Energy and freight prices are spiking due to disrupted traffic through key Middle Eastern chokepoints, including the Strait of Hormuz and Suez Canal.
  • Grain and oilseed prices are rising more moderately, but still supported by higher energy and biofuel demand.
  • EU ethanol and natural gas costs have surged, driven by higher crude oil prices and constrained LNG supply.
  • Prolonged conflict may raise global production costs and limit input availability, pressuring future crop yields.
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