PARIS/SINGAPORE: Chicago corn, soybeans and wheat rose on Wednesday, recovering from multi-week lows, as indications that US tariffs against Canada and Mexico may be reduced helped ease market jitters over escalating trade tensions.
A further drop in the dollar index and stimulus measures outlined by China also lent support to commodities, though investors remained wary of an economic drag from tit-for-tat tariffs, including against US agricultural exports.
The most-active corn contract on the Chicago Board of Trade was up 1.2% by 1216 GMT at $4.57 a bushel, after slipping to its lowest since late December in the previous session. CBOT soybeans added 0.9% to $10.07-1/2 a bushel, while CBOT wheat was up 1.4% at $5.44-1/2 a bushel, after both crops fell to their lowest since early January on Tuesday.
US President Donald Trump slapped 25% tariffs on imports from Mexico and Canada on Tuesday and doubled duties on Chinese goods to 20%, drawing immediate retaliatory steps from Canada and China and a pledge from Mexico to also respond.
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