Corn and wheat prices rise due to weather conditions and short-covering efforts

Spring weather uncertainty and short position covering ahead of next week’s planting intentions report from the US Department of Agriculture helped push corn and wheat futures higher on Tuesday. Large South American supplies and lackluster Chinese demand for US soybeans sent soybean futures lower.

In the commodity markets, May corn added 3½¢ to close at $4.39½ per bushel, while Chicago May wheat added 9¾¢ to close at $5.52½ per bushel. Kansas City May wheat advanced 9¢ and closed at $5.82¾ per bushel. Minneapolis May wheat added 5¢ and closed at $6.55¾ per bushel.

Meanwhile, energy company shares took the lead on Tuesday, helping push US equity indices higher ahead of the Federal Reserve’s two-day meeting concluding Wednesday. The Dow Jones Industrial Average gained 320.33 points, the Standard & Poor’s 500 added 29.09 points, and the Nasdaq Composite added 63.34 points.

US crude oil prices were higher on Tuesday, with the April West Texas Intermediate light, sweet crude future adding 75¢ to close at $83.47 per barrel. The US dollar index also strengthened.

In the precious metals market, US gold futures declined on Tuesday, with the April contract closing at $2,159.70 per ounce.

Overall, the markets showed mixed movements on Tuesday, with corn and wheat futures gaining strength while soybean futures faced pressure from global supply and demand factors. Investors are eagerly awaiting the USDA’s planting intentions report next week for further insights into the agricultural markets.

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