Agricultural Prices

Agricultural prices increased 1.0% month on month in October, following September’s 6.2% rise.

In October, six of the nine commodities tracked by our panel of analysts traded higher than in September. Among grains, supply fears led to higher prices for corn and wheat, while an improving supply outlook and looser export restrictions curbed prices for soybeans and rice, respectively. Prices for other softs—such as cocoa, cotton, palm oil and sugar—also rose, as demand strengthened and adverse weather in key producing regions raised output concerns. Across the board, prices came under downside pressure from a stronger U.S. dollar and the EU’s delayed ban on imports from deforested areas, which bodes well for global supply.