Corn Near April Highs

Corn futures rose past $4.6 per bushel approaching April highs last seen March 13th as the escalating conflict in the Middle East triggered a sharp influx of speculative capital and a 40% surge in crude oil prices that directly bolsters the biofuels complex. This rally is fundamentally driven by a 0.7% spike in US producer inflation and reports of airstrikes on Iranian energy infrastructure that have pushed wholesale urea fertilizer prices up 30% to over $650 per ton since late February. While most 2026 inputs were pre-priced, the effective closure of the Strait of Hormuz has choked off 12% of global urea capacity and increased the cost of diesel to raise the floor for grain transportation and production. Supply side pressure is further intensified by the potential for a marginal shift in acreage from corn to soybeans as farmers navigate the rising cost of nitrogen-heavy applications.

Corn decreased to 424.00 USd/BU, the lowest since January 2026. Over the past 4 weeks, Corn gained 3.02%, and in the last 12 months, it decreased 3.58%.

Corn futures dropped to around $4.33 per bushel after surging to as high as $4.47 last week, as easing energy prices pressured the market. Oil retreated sharply amid hopes that the conflict with Iran may conclude sooner than expected after comments from US President Trump suggesting the military operation is nearing its end and outlining plans to contain energy costs. Grain markets often move alongside oil because crops are used in biofuel production, while higher energy prices also raise input costs such as fertilizer and transportation. Traders also turned cautious ahead of the US Department of Agriculture’s upcoming WASDE report, which could revise projections for US corn inventories, export demand, and global supply. Export demand has remained robust, with shipments for the 2025–26 marketing year reaching about 1.62 billion bushels, roughly 42% above last year’s pace, though uncertainty over crop forecasts and weather conditions has prompted investors to scale back positions.