FX.co ★ Corn Trades at 7-Week Low

Corn futures remained below $4.50 per bushel, hovering near a seven-week low, as uncertainty over global trade and geopolitical developments continued to pressure prices. Hopes for a potential US–Iran ceasefire that could reopen the Strait of Hormuz—and restore flows of fuel and fertilizers critical to crop production—were initially seen as supportive for agricultural supply, with the prospect of boosting global grain output. However, negotiations have made little headway, and tensions across the Middle East remain elevated, driving crude oil prices higher. At the same time, concerns over the durability of a US–China trade agreement added to the bearish tone. The US administration has stated that China agreed to purchase at least $17 billion in US agricultural products annually through 2028 following talks between Trump and Xi in Beijing. In contrast, China’s Commerce Ministry characterized the understanding merely as a “guiding target” for expanding trade, without endorsing the specific figure. USDA data suggest that any rebound in Chinese corn imports would represent a significant shift after nearly two years of subdued buying.