​​​Brent crude oil consolidates while Chicago wheat and orange juice rally​​​

​​​Brent crude oil consolidates ​ ​

The Brent crude oil price is little changed as investors mull over top importer China’s growth and tightening supply. ​There was little change in the oil price as the people’s Bank of China maintained its key lending rates at the July fixing as had been widely anticipated. The 1-year loan prime rate (LPR) was left unchanged at 3.55% and the five-year rate at 4.2%.

​The June-to-July tentative uptrend line at $79.06 is likely to be revisited, a slip through which will have the previous resistance, now support, zone at $78.52 to $77.51 in its sights. It incorporates the mid-May to June highs as well as this week’s low. ​This support area is expected to hold this week. If not, the late June high at $77.24 could be reached as well. ​Resistance above last Thursday’s $79.75 low and the minor psychological $80.00 mark sits at Wednesday’s high at $80.80.

​Chicago Wheat prices surge on Russia-Ukraine tensions ​

Chicago Wheat’s swift rally to Thursday morning’s high at $7.52, a 13% rise in under three days, occurred on the back of Russia not only pulling out of its deal with Ukraine to allow free passage of grain exports but its military also shelling Ukraine’s wheat fields and blockading Ukraine’s ports. ​The rise above the 200-day simple moving average (SMA) at $7.34 puts the June peak at $7.70 back on the cards, a rise above which could have the psychological $8.00 mark in its sights. Slightly further up lie the December 2022 and February highs at $8.01 to $8.06 which represent formidable resistance. ​Short-term the 200-day SMA at $7.34 could offer support and below it the late March high at $7.30.

​Orange juice prices near May high

​Front month orange juice futures have risen close to the May peak at $2.8721 as the greenback remains under pressure and as U.S. reliance on Brazilian orange juice surged from 19% of Brazil’s total juice exports a year ago to 31% at present. ​Above $2.8721 lies the psychological $3.0000 mark. ​Minor support can be found at the $2.8038 April high and along the July uptrend line at $2.7210.