Agricultural commodities got reactivated on Thursday after the breath investors took on Wednesday just ahead of the Federal Reserve meeting.
So, the Fed talked and it changed its stance to a dovish forecast for the economy and paved the way for a rate cut on its next FOMC in July. As reported earlier in the day, the FedWatch tool is giving 100% of probabilities for a rate cut in July.
In this framework, Dollar is trading down with grains as soybeans, corn, and wheat performing gains. Even coffee is alive today as the grain is logging its first positive day in June.
Now the focus is changing from planting to emerging. Concerns remain about cold and wet weather that can cause even more damage in an already weak agricultural season.