Wheat, corn and soybeans stay firm as war and tariff news monitored
PARIS/SINGAPORE: Chicago wheat, corn and soybeans rose on Wednesday, underpinned by signs of a hardening conflict between Ukraine and Russia as well as hopes that tariff negotiations between Washington and grain importers like China and Vietnam will boost U.S. exports.
Favourable conditions for U.S. crops remained a curb on prices, which hit a six-month low for corn on Tuesday and a seven-week low for soybeans on Monday.
The most-active wheat contract on the Chicago Board of Trade (CBOT) was up 0.6% at $5.39 a bushel by 1137 GMT.
The wheat market has been torn this week between concern over Black Sea grain trade, as Ukraine has stepped up attacks on Russian targets, and improved conditions for U.S. crops as estimated by the U.S. Department of Agriculture's weekly crop progress report on Monday.
'The renewed geopolitical tensions in the Black Sea continue to fuel market volatility,' Argus analysts said in a note, adding, 'The stronger-than-expected increase in winter wheat and especially spring wheat crop ratings weighed on these products.'
Traders were also monitoring drought damage to the wheat crop in China, though it was unclear if this would prompt more imports given large Chinese stocks.
Wheat drops on improved US crop rating; corn hits six-month low
CBOT soybeans edged up 0.5% to $10.46 a bushel, while corn added 1.1% to $4.43-1/2 a bushel, putting the crops on course for a second daily rise as they recovered from this week's lows.
On the trade front, U.S. President Donald Trump and Chinese counterpart Xi Jinping are set to speak this week, the White House said on Monday, boosting hopes about negotiations, days after Trump accused China of violating an agreement to roll back tariffs and trade restrictions.
Worries about demand for U.S. soybeans from the world's biggest oilseed consumer have curbed soybean futures this year.
Vietnamese firms, meanwhile, have signed memorandums of understanding to buy $2 billion worth of American farm produce, including corn, wheat and soymeal as part of efforts to seal a new trade deal between the two countries.
Investors remain cautious about trade tensions, however, amid Chinese restrictions on critical mineral exports and Washington's move to double tariffs on steel and aluminium imports.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Business Recorder
an hour ago
- Business Recorder
Trump commends ‘very strong' Pakistan leadership
WASHINGTON: US President Donald Trump has once again projected his role in de-escalating the recent Pakistan-India conflict while commending the 'very strong' leadership in Islamabad. Speaking at a White House event alongside German Chancellor Friedrich Merz, President Trump recounted how Pakistan-India tensions were 'getting close to being out of hand,' and said he intervened by speaking directly to leaders on both sides. Trump again said he felt proud of brokering a ceasefire between Pakistan and India. He said that he told both countries that if bullets are fired, there will be no trade, adding Pakistan has very strong leadership.
Express Tribune
2 hours ago
- Express Tribune
Trump says proud of stopping Pak-India war
U.S. President Donald Trump gestures, as he departs for Pennsylvania, on the South Lawn of the White House in Washington, D.C., U.S., May 30, 2025. Photo:REUTER Listen to article US President Donald Trump praised Pakistan's leadership during a meeting with German Chancellor Friedrich Merz at the White House on Thursday, repeating his stance that he saved the world from a major crisis by preventing a war between the nuclear-armed India and Pakistan. The US-German summit at the Trump's Oval Office was the first since Merz's election as the German Chancellor on May 6. Their talks covered a range of topics, including the wars in Europe, South Asia and the Middle East, besides the US-China trade issue and bilateral matters, according to media reports. During the meeting Trump insisted that the reduction in tension was possible because of his efforts and cooperation with the leaders of India and Pakistan. He praised the Indian and Pakistani leaderships and stressed that in the event of a nuclear conflict, the entire world could have been in danger. Taking pride in his role as the peacemaker, Trump regretted that he did not get the recognition he deserved for this important diplomatic achievement. "No one else could have done it," he said, referring to the ceasefire he had announced on May 10, and later confirmed by both the countries. Tensions between India and Pakistan reached a boiling point after an attack in the Indian-Illegally Occupied Jammu and Kashmir (IIOJK) on April 22, which killed 26 people. India swiftly blamed Pakistan, but did not present any evidence. However, the situation escalated as missile strikes and air raids rocked both nations, resulting in dozens of casualties between May 7 and 10. Trump said his diplomatic efforts to de-escalate the situation involved intense talks with both sides. "Pakistan has very strong leadership. Some people won't like when I say that, but it is what it is," Trump said. "I spoke to very talented people on both sides," he added. "They stopped that war. I was very proud of that."
Express Tribune
3 hours ago
- Express Tribune
Circle's blockbuster IPO paves way for more listings
Listen to article Stablecoin issuer Circle's $1.05 billion initial public offering on Thursday could spur other large crypto players to follow suit as the industry benefits from US President Donald Trump's embrace of the sector, according to experts and analysts. Circle priced its shares at $31 on Wednesday. In a sign of investor demand, they opened on the New York Stock Exchange on Thursday at $69 apiece and closed at $83.23. That trajectory is likely to encourage other crypto companies eyeing stock market debuts. Circle is the first major crypto company to go public since crypto exchange Coinbase listed on Nasdaq in 2021. Analysts have pointed to crypto exchanges Kraken and Gemini as other potential IPO candidates in the digital asset sector. Neither company immediately responded to a request for comment. "It would not be surprising if other crypto companies follow suit," said Jacob Zuller, an analyst at Third Bridge. "Public markets have accepted that crypto is not going away." Circle issues stablecoin USDC, a cryptocurrency pegged to the US dollar and designed to maintain a constant value. Crypto traders use stablecoins to move funds between tokens and proponents say they could be used to send and receive payments instantly. "We've had a deep conviction from the inception of the company that we could build a new infrastructure for money, built on the internet, that could radically reshape the utility of money," Circle CEO Jeremy Allaire said in an interview with Reuters. Circle's IPO success demonstrates that there is pent-up demand in the public markets for crypto and other financial technology companies, said Dan Dolev, senior analyst at Mizuho. "If IPOs go wild, it's a good bellwether," he said. NYSE Group President Lynn Martin went a step further, calling Circle's IPO a positive sign not just for crypto listings, but for IPOs in general. "I see the Circle IPO as a bellwether for the IPO markets this year, not just for crypto listings," she said. Fintech companies have been warmly received in recent months. Shares in retail brokerage eToro surged 34% in their Nasdaq debut in May. Digital banking startup Chime is seeking a more than $11 billion valuation when it launches next week.
