AGS WEEK AHEAD: Softer Dollar Helps U.S. Exports

Dow Jones01-13

By Joe Stonor

A roundup of key agricultural commodity markets for the week of Jan. 12-16 by Dow Jones Newswires in Barcelona.

GRAINS & OILSEEDS:

The U.S. dollar weakened after the Department of Justice launched an investigation into Federal Reserve Chair Jerome Powell. A softer dollar is positive for U.S. exports and, in turn, the country's agriculture markets.

Markets are halfway through what is typically the most bullish two-month stretch of the year for agricultural commodities due to South American weather risks, index funds topping up their commodities allocations and investors paying renewed attention to commodities in the new year, according to Peak Trading Research.

The United States Department of Agriculture's World Agricultural Supply and Demand Estimates is due out today, with traders surveyed by WSJ forecasting lower yields for corn and soybeans.

Markets await Tuesday's CPI Inflation print for December, as well as a potential Supreme Court decision on the legality of President Trump's tariff regime Wednesday.

South American weather is broadly favorable, with Brazilian rainfall supporting soybean development. Cooler temperatures in Argentina are constructive, as investors watch for signs of heat stress affecting supply, Peak Trading Research said.

Chicago wheat futures were up 1% at $5.22 a bushel in European afternoon trade Monday, while corn was up 0.3% to $4.47 a bushel. Soybean prices rose 0.2% to $10.65 a bushel.

SOFT COMMODITIES:

Arabica futures climbed last week as markets priced in added risk from U.S. intervention in Venezuela, analysts at Rabobank said, though coffee prices fell 0.9% in afternoon European trading on Monday to $3.54 a pound.

Cocoa slips 0.5% to $5,318 a ton after falling last week despite index buying, though analysts at Peak Trading Research flagged that passive funds will return for further buying this week. Above-average rains across Ivory Coast's cocoa regions boosted production outlooks for the world's biggest cocoa producer.

Write to Joe Stonor at josephmichael.stonor@wsj.com

(END) Dow Jones Newswires

January 12, 2026 12:04 ET (17:04 GMT)

At the request of the copyright holder, you need to log in to view this content

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

AGS WEEK AHEAD: Softer Dollar Helps U.S. Exports

At the request of the copyright holder, you need to log in to view this content

Comments