GRAINS-Chicago grains steady as focus shifts from tariffs to USDA data

ReutersFeb 11, 2025 12:29 PM

Updates at 1208 GMT, changes dateline

PARIS/BEIJING, Feb 11 (Reuters) - Chicago corn, wheat and soybean futures edged up on Tuesday as traders adjusted positions before a world crop report from the U.S. government while waiting to see if the latest U.S. tariff measure would bring fallout for agricultural trade.

The most-active corn contract Cv1 on the Chicago Board of Trade (CBOT) was up 0.3% at $4.93 at 1208 GMT. CBOT soybeans Sv1 were 0.4% higher at $10.54 a bushel while CBOT wheat Wv1 added 0.8% to $5.84-1/4 a bushel.

All three crops recovered from small earlier losses, with corn and soybeans holding above one-week lows touched on Monday.

U.S. President Donald Trump's announcement on Monday of increased tariffs of 25% on steel and aluminium imports rekindled concern about retaliatory actions against U.S. exports, including crops.

However, market jitters about tariff tensions eased as investors turned their attention to Federal Reserve comments and inflation data. MKTS/GLOB

Grain participants, meanwhile, were gearing up for the U.S. Department of Agriculture's (USDA) February supply and demand report due at 1700 GMT.

"Operators are cautious while waiting for today's monthly USDA report," Argus analysts said.

"The fears concerning possible reprisals in retaliation for the duties announced by President Trump remain a factor to be followed even if to date agricultural productions are spared," the analysts said.

The USDA's report is being watched in particular for revisions to South American corn and soybean crop forecasts, after hot, dry weather in Argentina and heavy rain in Brazil.

As of February 6, Brazil's soybean harvest for the 2024-25 season was 15% complete, still lagging last year's pace and contributing to slower planting of the second corn crop, consultancy AgRural said on Monday.

Tariff worries were tempered by Monday's announcement of a hefty U.S. corn export sale to Mexico.

The wheat market was being underpinned by rising prices and slowing shipments in Russia, where the authorities have set a restrictive export quota for February 15 to June 30.

Consultancy IKAR cut its Russian wheat export forecast due to low stocks.

Prices at 1208 GMT
	Last	Change	Pct Move
CBOT wheat Wv1	584.25	4.75	0.82
CBOT corn Cv1	493.00	1.50	0.31
CBOT soy Sv1	1054.00	4.50	0.43
Paris wheat BL2H5	238.25	1.50	0.63
Paris maize EMAc1	218.50	1.25	0.58
Paris rapeseed COMc1	522.00	5.50	1.06
WTI crude oil CLc1	73.18	0.86	1.19
Euro/dlr EUR=	1.03	0.00	0.16
Most active contracts - Wheat, corn and soy US cents/bushel, Paris futures in euros per metric ton

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