Corn prices rose more than 1.5% to $178/ton

The Vietnam Commodity Exchange (MXV) said that supply and demand factors and weather are strongly affecting the price of raw materials in the world . In the agricultural market, corn prices recorded a second recovery session due to concerns about prolonged heavy rain affecting planting activities. Meanwhile, prices of base metals such as copper, iron ore, etc. continued to be supported due to weak demand. At the close of yesterday's trading session, buying power dominated, pulling the MXV-Index up 0.7% to 2,213 points.

Giá ngô tăng mạnh hơn 1,5% lên 178 USD/tấn

MXV-Index

Crop concerns support strong corn and wheat prices

At the end of the trading session on May 20, positive sentiment continued to spread when all 7 items in the agricultural products group closed in the green. Notably, corn prices increased by more than 1.5%, to 178 USD/ton, marking the second consecutive recovery session. The increase in corn prices mainly came from concerns about the supply situation when heavy rains affected planting activities.

Agricultural product price list

In the US, heavy rains in the Midwest this week have helped improve conditions in the dry West, but have hampered planting in the South and East, with some requiring replanting. Overall, the planting campaign remains favorable, with a balance of rain and sunshine forecast for next week. However, the continued rain has left the market cautious about the risks to the new crop.

In addition, the weekly report of the US Energy Information Administration (EIA) showed that ethanol production recovered by 1-2% and inventories decreased accordingly, amid high demand for ethanol. This helped maintain good production margins, thereby supporting corn prices as the majority of US corn in the 2024-2025 crop year is used for biofuel production.

Meanwhile, wheat prices jumped more than 3% yesterday, leading the rally across the board. In the US, the latest Crop Progress report showed that the percentage of winter wheat that was good/excellent was 52%, up slightly from last week but still below market expectations of 54%. Meanwhile, Russia’s largest grain-producing region, Rostov, declared a state of emergency due to spring frost damage to crops, raising concerns about production in the world’s largest wheat exporter.

In addition, China is also facing severe hot and dry weather and drought in major wheat growing regions such as Henan , Shaanxi and Shanxi. The National Meteorological Center of China has warned that hot and dry winds could negatively affect wheat yield and quality, forcing the country to increase imports to ensure domestic supply. Unfavorable weather and production factors in key countries have strongly supported wheat prices, helping this commodity surge in the last trading session.

Metal market is divided.

According to MXV, the metal market continues to show clear differentiation. While the precious metal group has increased strongly due to the need for shelter and concerns about supply shortage, the base metals are under pressure from weakening demand.

At the close of the session, silver prices increased by 2.05% to 33.17 USD/ounce, while platinum jumped 4.92% to 1,055.4 USD/ounce, bringing the increase since the beginning of the year to 16%.

Metal price list

MXV believes that Moody's downgrade of US debt has provided short-term support for precious metals such as silver. In the coming trading sessions, the market will focus again on US fiscal and public debt issues, making the market sentiment more cautious, thereby stimulating safe-haven demand for silver.

Notably, platinum is also strongly supported by the risk of a supply shortage. According to the World Platinum Investment Council (WPIC), the platinum market in the first quarter of 2025 recorded a deficit of 816,000 ounces - the largest in the past six years when total supply decreased by 10% due to a sharp decline in mining output in South Africa, while investment demand increased by 10% compared to the same period last year. The platinum market is forecast to continue to be in deficit for the whole of 2025 with a deficit of 966,000 ounces, mainly due to the lowest global supply in 5 years and strong recovery in investment and jewelry demand.

On the other hand, base metal prices remained under pressure due to weakening consumption prospects amid global economic uncertainties. Iron ore prices continued to slide slightly by 0.05%, falling to $99.4/ton.

According to the National Bureau of Statistics (NBS), crude steel output in April was only 86.02 million tons, down 7% from the previous month, equivalent to a decrease of 6.82 million tons. This shows that demand for input materials such as iron ore is clearly weakening. However, the decline was restrained when the total volume of iron ore exported through Port Hedland (Australia) - one of the largest export ports in the world in April reached 46.7 million tons, down 7.8% compared to March and down 5.8% compared to the same period last year, reflecting that supply is also showing signs of shrinking.

Prices of some other goods