Corn Set for Biggest Weekly Gain in 2 Years
Corn futures experienced a significant surge, exceeding $4.80 per bushel on Friday and marking a weekly increase of over 5%—the highest since May 2023. This uptick was primarily driven by President Trump's decision to halt some of the planned tariff hikes and a revised supply outlook from the USDA. The situation was further buoyed by a notably weaker dollar, a result of the intensifying U.S.-China trade conflict. Following President Trump's move to increase tariffs on Chinese goods to 145%, Beijing countered on Friday by announcing a hike in tariffs on all U.S. imports to 125%. Meanwhile, tariffs on imports from other key trading partners, such as Mexico and Japan, saw reductions back to a baseline of 10%, with negotiations with Japan continuing to aim for a trade agreement. Concurrently, the USDA revised its U.S. corn supply outlook, reducing the estimate for 2024-2025 ending stocks to 1.47 billion bushels, down from an earlier projection of 1.54 billion, falling short of market expectations. The department also decreased its global forecast for end-of-season corn stocks.
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