Chicago Board of Trade grain and soybean futures fell on Tuesday, pressured by a broader retreat in energy markets as diplomatic hopes regarding the Iran conflict gained traction.
The decline in oil prices removed a key cost-support pillar for agricultural commodities, triggering a cross-asset sell-off that extended into the grain complex.
Soybean contracts faced additional headwinds from weather forecasts predicting rain across the US Midwest.
The precipitation is expected to aid crops during a critical pod-filling stage in August, potentially boosting yield expectations and weighing on prices.
Meanwhile, wheat futures were dragged lower by improving supply prospects from the Black Sea region, which has historically been a major source of global grain exports.
The move in grains mirrors the recent softening in crude oil, where Brent and WTI futures have edged lower as traders recalibrate risk exposure following recent geopolitical developments.