The EUR/USD currency pair dropped to 1.0491. The price of US WTI crude oil declined to 68.62 USD per barrel.

Wheat

Chicago wheat futures declined, with May 2025 CBOT wheat closing at $5.79 3/4 per bushel, down 8 cents on the day. Kansas City hard red winter wheat and Minneapolis spring wheat also posted losses, with spring wheat taking the largest hit. Traders were hesitant ahead of the weekly export sales report, with expectations for U.S. wheat bookings ranging between 300,000 and 600,000 metric tons. Meanwhile, NOAA’s 7-day precipitation forecast suggested increased rainfall across parts of the Eastern U.S., though the Plains were expected to see only light moisture.

Corn

Corn prices also fell, with May 2025 corn futures closing at $4.93 1/2 per bushel, down 3/4 of a cent. The U.S. ethanol market saw mixed signals, as the latest EIA report showed a slight decline in production, down 3,000 barrels per day to 1.081 million barrels per day. However, ethanol stocks saw their biggest weekly increase since January 2023, climbing to 27.571 million barrels, with much of the build occurring in the Midwest and Gulf regions. Market focus was on the USDA’s upcoming planting outlook, with analysts anticipating an increase in corn acreage to 93.5 million acres, up from last year’s 90.6 million.

Soybeans

Soybean futures ended the day lower, with May 2025 soybeans settling at $10.41 1/4 per bushel, down 7 1/2 cents. Soymeal futures held steady to slightly lower, while soy oil futures fell between 15 and 48 points. The market awaited the weekly export sales report, with expectations for soybean bookings between 200,000 and 600,000 metric tons. Additionally, a Bloomberg survey ahead of the USDA Outlook Forum projected U.S. soybean plantings at 84.4 million acres, down 2.7 million acres from last year.

Despite some support from weather concerns, global wheat markets remained under pressure due to softening demand and reduced export prospects. SovEcon lowered its Russian wheat export forecast for the 2024-25 season to 42.2 million tons, down from 42.8 million, citing slow shipments and weak profitability. Russia’s strengthening ruble and poor exporter margins continue to limit its competitiveness in global markets.

The global soybean market saw additional pressure as Argentina’s oilseed union threatened strikes at processing plants due to salary disputes, which could temporarily disrupt supply chains. Meanwhile, Brazil continued to struggle with dry conditions, particularly in South-Central and Southeast regions, raising concerns over crop yields.

The corn market also faced uncertainties, with traders watching for the USDA’s updated acreage and production estimates. South Korea’s overnight purchase of 68,000 metric tons of U.S. corn was noted, but overall export demand remains a concern. Mexico’s lower house approved a bill to ban GMO corn crops, which could have implications for U.S. corn exports to the country.

In energy markets, U.S. ethanol production saw only a slight decline, but rising stockpiles could weigh on margins moving forward. Meanwhile, President Trump announced that proposed tariffs on Mexico and Canada would now take effect on April 2, delayed from the previous March 4 deadline.

In the vegetable oil market, palm oil prices in Malaysia were up 1.01% overnight, but the outlook remains bearish, with leading analysts predicting a price drop post-Ramadan as output ramps up. Indonesia’s palm oil production is forecast to rise by 2.2 million tons in 2025, while demand for alternative oils, such as soybean oil, is expected to remain strong.

Looking ahead, the market will be watching for USDA’s key reports and export sales data, which could provide fresh direction. Traders are also monitoring weather patterns in the U.S. and South America, particularly Brazil’s continued dry conditions and Argentina’s forecasted heavy rainfall.