Wheat and soybean oil surge in Chicago

Chicago wheat prices experienced a positive surge on Tuesday, driven by USDA reports that anticipate a decrease in U.S. acreage for 2025, lower corn acreage, and a decrease in stocks. This was despite an increase in expected soybean acreage. The rebound in prices was further fueled by a surge in oil prices, which led to a more than 5% increase in soybean prices. Additionally, the market adjusted in anticipation of potential tariffs on Canadian canola oil announced by former President Trump, which are expected to be official on April 2. At the close, SRW wheat for May 2025 delivery rose $3.5 cents/bu to $5.41/bu, corn for May 2025 delivery rose $4.5 cents/bu to $4.62/bu, and soybeans for May 2025 delivery rose $19.5 cents/bu to $10.34/bu.

Wheat prices in Chicago remained positive this Tuesday evening, further buoyed by the USDA reports released the day before. The U.S. Department of Agriculture put the straw cereal back in positive territory by announcing estimates of 2025 U.S. acreage significantly lower than last year and the consensus. Corn acreage, on the other hand, was forecast to be significantly higher, but the contraction in stocks as of March 1st compared to last month ultimately led to a slight rebound in prices across the Atlantic. Soybean prices, meanwhile, benefited from a surge of more than 5% in oil prices, also returning to positive territory. The prospect of a significant increase in incorporation mandates following an agreement reached between oil and biofuel manufacturers particularly fueled the movement. The market also adjusted on the eve of the much-discussed tariffs promised by Donald Trump, expected to be ...