Wednesday March 5, 2025

• Grain markets are mixed this morning.
• Trump is now expected to roll back tariffs on Canada and Mexico today.
  • The grain markets are trying to take a breather after an ugly two weeks. 
• Yesterday we saw corn and soybean futures take a dive with the escalating trade tensions. Corn prices declined to their lowest levels for the year and soybean futures fell below $10/bu. 
• There are concerns that this trade tension could push the US and global economy into a recession, further reducing demand for commodities.
  • Corn prices have fallen 14% since mid-February due to trade worries and improved South American crop prospects. This has caused funds to liquidate long positions.
• The trade is concerned over Chinese tariffs and their announcement yesterday of tariffs on ag products. It’s important to remember that regardless of all the tariff news the world balance sheets has not changed. The world still has the same number of bushels available as we did last week. It’s possible we might just see a reshaping of which countries import from which countries. 
• Flash Sales:
  • 130,000MT of white wheat to South Korea for 24/25 delivery.
  • 20,000MT of soybean oil to unknown for 24/25 delivery.