Since the outbreak of the war between the United States and Iran, the conflict has influenced the course of markets that remain highly volatile, based on the latest developments. This time, the possibility of a resolution of the conflict between the two countries has disrupted oil prices and grains in its wake. Price declines reversed on Friday as the next government report and the meeting between the leaders of China and the United States approached.
Earlier in the week, the prospect of an agreement caused a significant decline in crude oil prices, dropping by about 11% in a single session, followed by corn and soybeans. Price volatility continued throughout the week but tapered off towards Friday.
Sowing in the United States progressed at a steady pace, exceeding the five-year average, which added pressure on prices due to favorable conditions and long-term prospects.
Wheat prices have been particularly unstable. While beneficial rains fell in some areas of the American Plains, concerns about late frost in western Kansas and eastern Colorado supported prices towards the end of the week.
(FACT CHECK: The article discusses how the conflict between the US and Iran has impacted market prices. It also mentions the progress of sowing in the US and the instability of wheat prices.)
The focus of the market turns to next week with the unveiling of the USDA’s WASDE report scheduled for May 12. This report will provide the first official estimates of supply and demand for the new season. Additionally, a meeting planned for May 14 between Presidents Trump and Xi Jinping could boost soybean exports to China, which have missed targets despite deals made last fall.
Soybean futures for July closed at $12.08, compared to $12.0325 a week earlier.
July corn futures ended Friday at $4.7125 compared to $4.8025 the previous Friday.
Wheat futures for July finished at $6.19, down from $6.3775 the previous week.
