Global agricultural markets for May 4–9 saw pressure from grains and clearer divergence across vegetable oils and soft commodities

📌 Global agricultural markets leaned slightly to moderately lower last week, with grains under the clearest pressure. Wheat was the main drag as rainfall forecasts for the Plains improved, Canadian stocks rose sharply, and Black Sea supply remained stable.
🌾 Wheat also faced pressure from weak U.S. export sales and lower risk appetite ahead of the May 12 WASDE report. Corn moved lower as well, though losses were more limited as biofuel expectations and speculative positioning still provided some support.
🫘 Soybeans traded flat to slightly lower as support from U.S.–China trade hopes was offset by Brazil’s very large harvest. China continued to favor South American supply, keeping U.S. soybean export sales weak and limiting short-term upside.
🛢️ Vegetable oils remained a relative bright spot. Malaysian palm oil rose as inventories fell to multi-month lows and exports improved, while soy oil was still supported by biofuel demand, even though lower crude oil prices reduced some of that bullish momentum.
☕ Soft commodities showed clearer divergence. Cotton stood out with a strong gain, supported by its link to energy prices and demand for natural fibers, while coffee and sugar came under pressure from a better supply outlook in Brazil and Asia. Cocoa remained supported by weather risks in West Africa.
⚠️ From a broader perspective, high energy and fertilizer costs remain an important background risk. Some parts of Eastern Europe have already cut planted acreage due to higher input costs, creating longer-term support even though current supply is still enough to cap prices.
🔎 Next week, the May 12 WASDE report will be the key catalyst. If USDA confirms solid planting progress, high stocks, and stable yield expectations, grains may continue to move sideways or remain under pressure. Any sign of lower acreage or yield risk, however, could trigger a short-term rebound.
#AgricultureMarkets