Brent Rises as Traders Assess Trump Impact

WTI crude oil futures rose toward $72 per barrel on Thursday, as investors continued to assess the potential impact of Donald Trump’s election victory on oil markets.

A Trump administration is expected to stimulate US economic growth and boost consumption through fiscal spending and tax cuts, while also being seen as favoring US oil producers, potentially revising sanctions on major producer Iran.

However, concerns remain about the strain Trump's trade tariffs may place on China’s economy, potentially reducing oil demand from the world’s largest importer.

Meanwhile, the EIA reported that US crude inventories rose by 2.1 million barrels, exceeding the 1.8 million-barrel forecast. Elsewhere, Hurricane Rafael is expected to weaken before reaching the US Gulf Coast, with the threat to oil production falling to a projected 1.55 million barrels a day as the storm shifts eastward.

SSE Consume Commodity Index increased to a 4-week high of 8357.00 Index Points.

Over the past 4 weeks, SSE Consume Commodity Index lost 8.02%, and in the last 12 months, it decreased 12.73%.

Wheat closed out the Wednesday session with most contracts lower, as the CBT market was firmer. The rallying US dollar index put some pressure on the market. Chicago SRW futures were within a ¾ cent of unchanged on the day. KC HRW contracts were down 2 1/2 to 3 3/4 cents on Wednesday. MPLS spring wheat was down 4 to 5 cents on the day.

Weekly Export Sales data is expected to show 250,000 to 550,000 MT in old crop wheat sales during the week of 10/31. For new crop sales, estimates are running 0 to 50,000 MT.

Ahead of USDA’s WASDE report on Friday, analysts surveyed by Reuters expect to see very little movement in the US ending stocks projection this month at 813 mbu on average. The range of estimates is 800 to 830 mbu. World stocks for the 2024/25 projection is seen down 0.93 MMT to 256.79 MMT.

South Korea purchased a total of 100,000 MT of wheat split 50,000 MT each from the US and Australia in their tender on Wednesday.

Dec 24 CBOT Wheat closed at $5.73 1/4, up 3/4 cent,

Mar 25 CBOT Wheat closed at $5.91, unch,

Dec 24 KCBT Wheat closed at $5.74, down 2 3/4 cents,

Mar 25 KCBT Wheat closed at $5.85 3/4, down 3 1/4 cents,

Dec 24 MGEX Wheat closed at $6.05 1/2, down 5 cents,

Mar 25 MGEX Wheat closed at $6.27 1/2, down 4 3/4 cents,

On the date of publication, Austin Schroeder did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policyhere.

Soybeans faded off the overnight double digit losses to close Wednesday with contracts down 4 cents to up 2 cents. Futures were ignoring potential Trade War fears from a Trump presidency to close out the day. CmdtyView’s national front month Cash Bean price was up 2 ¾ cents at $9.47 1/2. Soymeal futures were back down $1.10 to 2.10/ton on the session. Soy Oil futures were back up 63 to 135 points on the day, as potential Chinese tariffs would limit imports of used cooking oil as a biodiesel feedstock.

Thursday morning will show weekly Export Sales data with soybean bookings for the week of 10/31 seen at 1.2 to 2.2 MMT for the current MY. Sales for 2025/26 are for 0 to 100,000 MT. Meal sales are seen at 150,000 MT to 560,000 MT in total during that week. Bean oil sales are expected at 0 to 60,000 MT.

With a smaller expected production (estimated down 25 mbu), US ending stocks are expected to slip lower in the WASDE update, with analysts looking for an 18 mbu reduction to 532 mbu. The range of estimates is from 475 to 585 mbu. The world soybean stocks are seen 0.59 MMT tighter to 134.06 MMT.

Nov 24 Soybeans closed at $9.94 1/2, up 3/4 cent,

Nearby Cash was $9.47 1/2, up 2 3/4 cents,

Jan 25 Soybeans closed at $10.03 3/4, up 2 cents,

May 25 Soybeans closed at $10.29 1/4, down 1 1/4 cents,

On the date of publication, Austin Schroeder did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policyhere.