By Giulia Petroni
A roundup of key agricultural commodity markets for the week Sept. 8-12 by Dow Jones Newswires in Barcelona.
GRAINS & OILSEEDS: The macro mood is bullish ahead of the Federal Reserve's meeting later this week, with markets expecting the U.S. central bank to cut interest rates for the first time in nine months. The policy statement and Chairman Jerome Powell's press conference following the meeting will be key drivers for risk assets, the U.S. dollar, and commodity markets. A dovish signal--hinting at further cuts--would likely push the dollar lower and lift agricultural prices.
Meanwhile on the weather front, U.S. forecasts remain warm, with some heavy rains expected in the Plains and Western Corn Belt, while the Eastern Corn Belt stays too dry and drought conditions are expanding, according to Peak Trading Research. The impact of this dryness on final corn and soybean production should become clearer as the harvest advances and true yield discovery begins.
U.S. corn export sales softened for the first time in seven weeks, with Mexico continuing to buy while China is boycotting purchases of U.S. soybeans, analysts at Peak Trading Research say. Farmers are closely looking for any progress toward a comprehensive U.S.-China trade deal that includes explicit soybean purchase commitments.
Chicago wheat futures are up 0.1% at $5.24 a bushel on Monday, while corn is down 1.7% to $4.23 a bushel. Soybean prices inch 0.1% lower to $10.45 a bushel.
SOFT COMMODITIES: Coffee prices rebounded sharply in August, with arabica and conilon up 31% and 32%, respectively, according to Rabobank. The rally was fueled by slower Brazilian exports and tight global inventories, while U.S. tariffs added volatility and pushed roasters to explore alternative origins.
In August, Brazil exported 3.1 million 60-kilogram bags of coffee, down 17.5% on year but up 14.3% from July. Exporters continue to face challenges from weather impacts on the arabica harvest, logistical delays, and the 50% U.S. tariff introduced in August.
In other soft commodities, dry weather in West Africa is threatening next season's cocoa crop, which could further tighten global supplies. On Monday, cocoa is down 0.6% to $7,596 a metric ton, while coffee jumps 5.4% to $4.18 a pound. Sugar is up 1.9% to $0.17 a pound.
Write to Giulia Petroni at giulia.petroni@wsj.com
(END) Dow Jones Newswires
September 15, 2025 12:26 ET (16:26 GMT)
Copyright (c) 2025 Dow Jones & Company, Inc.
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