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The latest commodities coverage from the TrustFinance editorial desk.
The benchmark Euronext milling wheat contract declined on Tuesday as market participants assessed that the potential for export disruptions from the Black Sea region is already reflected in current prices.
Crude oil benchmarks fell sharply on Monday after the U.S. suspended military action against Iran, easing geopolitical tensions that had recently pushed prices above $100 per barrel.
China has reportedly engaged in direct negotiations with Yemen's Houthi movement to ensure its tankers can safely transit the Red Sea, following Houthi threats to blockade Saudi Arabian ports.
Crude oil benchmarks fell to a two-week low as diplomatic efforts to resolve conflict in the Middle East overshadowed other market concerns, with Brent crude dropping to around $84 per barrel.
The main sea freight index for dry bulk commodities dropped 1.2% to its lowest level since July 2, pressured by a downturn in rates for capesize and panamax vessels amid signs of slowing industrial demand in China.
U.S. wheat futures are expected to open lower as traders cash in on recent gains, though persistent supply concerns from the Black Sea region are limiting the extent of the decline.
Corn prices edged higher on Tuesday after the U.S. Department of Agriculture reported a larger-than-anticipated decline in its weekly crop condition rating, citing recent hot and dry weather across the Midwest.
Soybean futures declined on Tuesday, pressured by continued selling and lower oil prices, even as a surprise drop in U.S. crop condition ratings and strong export demand signals provided some support.
Gold prices are testing the critical $4,000 per ounce support level as investors weigh the prospect of a hawkish Federal Reserve against historically strong demand from global central banks.
