Why Corn Prices Didn’t Crash With Other Commodities
Mexico’s exclusion from President Trump’s tariff blitz last week is propping up corn prices in what was otherwise carnage in the markets for raw materials.
Prices for fuels, precious metals, building materials and other cash crops, like soybeans and cotton, plunged as traders priced in the impact of hefty import taxes and unwound bets on global growth. But with no new tariffs on the biggest buyer of U.S. corn, futures ended the week slightly higher, at $4.60 a bushel.
Farmers have already begun shifting to corn over fears that the escalating trade war would tank soybean prices. During Trump’s previous term, China retaliated to his 2018 tariffs by buying far fewer U.S. soybeans, which it feeds to pigs, sending prices for America’s top cash crop tumbling 20%.
U.S. agricultural officials said last week before the tariff announcement that they expected farmers to plant one of their largest corn crops ever by shifting acres out of soybeans. The Agriculture Department is scheduled Monday to give an update on farmers’ planting progress and its monthly crops report is due Thursday.
Meanwhile, Agriculture Secretary Brooke Rollins said Sunday that the Trump administration is weighing financial aid to farmers. The federal government sent about $23 billion to compensate farmers during Trump’s first term.
For almost 30 years of expertise in the agri markets, UkrAgroConsult has accumulated an extensive database, which became the basis of the platform AgriSupp.
It is a multi-functional online platform with market intelligence for grains and oilseeds that enables to get access to daily operational information on the Black Sea & Danube markets, analytical reports, historical data.
You are welcome to get a 7-day free demo access!!!
Read also
2026-2030 Economic Outlook: New Business Architecture
Competition and Biofuel Demand Are Transforming the Global Oilseed Market
China uses strategic sulphur reserves as a tactical buffer amid fertilizer supply ...
Rainfall disrupts Brazil’s soybean harvest, but output remains record-high
Egypt, Algeria and Indonesia are the leaders among buyers of Ukrainian wheat
Got additional questions?
We will be happy to assist!
Write to us
Our manager will contact you soon