Grain Futures Soar as Crude Oil Prices Surge After Strait of Hormuz Tanker Attacks

Grain futures are on the rise, defying bearish seasonal studies that suggest price weakness for grains this time of year. At 6:00 a.m. CDT, December corn was up 3/4 cent and hit another contract and three-year high overnight. November soybeans were 12 cents higher and hit another contract and 2.5-year high overnight.

The key outside markets today see the U.S. dollar index firmer. October Nymex WTI crude oil prices are higher and trading around $88.00 a barrel, after two oil supertankers were attacked in the Strait of Hormuz on Monday night. The very large crude carrier Sidr was hit while sailing northeast of Khasab, Oman.

The attacks threaten the fragile recovery in oil shipments through the vital chokepoint, which had reached roughly half of pre-war levels thanks to clandestine shuttle runs from major Middle East producers.