On Monday, corn prices reached another record high as global commodities continue to cost more.

These contracts are for July corn futuresThe contracts were traded at an average of $8 per bushel Monday, which was the highest since September 2012. At the beginning of the year, the contracts traded at $6 per bushel.

Prices for corn are just one of the many commodities in agriculture that have seen a surge in value over recent weeks. in part due to the war in Ukraine. Ukraine is an important exporter and producer of other goods, including sunflower oil. Russia however is a leading producer and supplier of fertilizer chemicals and wheat. Futures traders are betting that corn will rise in price due to higher input costs.

Even prior war, commodities such as agricultural products were experiencing some uptake due to supply disruptions and rising transportation costs. These factors are contributing to economic inflation. The price of commodities has also increased due to the droughts in the U.S. West and around the world.

Global supply worries are not only affecting agricultural commodities generally, but corn can also be a source for additional demand.

President Joe BidenHis administration announced last week it would temporarily permit the sale of higher-ethanol gasolineTo offset the rising cost of energy, we will be using gasoline more often in summer. Summer is a time when gasoline consumption in America is at its highest.

Rising prices of corn and other foods are leading to America’s highest inflation rate since the 1980s. As a result, the Federal Reserve began raising interest rates. Wall Street strategists as well as economists fear that in trying to lower inflation, the central banking could lead the nation into recession.

The World BankAn earlier warning was issued this month about the possibility of an increase in global food insecurity due to higher prices.