
Research firms and the FAO warn that El Niño could raise drought risk for maize, rice, sugar, palm oil and coffee. In past events, the share of cropland under high-intensity drought rose 11-12 percentage points in the affected regions, with Southern Africa, Central America and Southeast Asia most exposed.
Drought risk for palm oil and rice in Southeast Asia and maize in Central America and Southern Africa supports prices for those supplies and feed substitutes.
After 1,465 past bullish weather events, Corn moved a median +0.2% over 5 sessions (54% higher; middle half -1.4% to +1.9%), and +0.9% over 20.
After 179 past bullish weather events, Rough Rice moved a median +0.4% over 5 sessions (55% higher; middle half -1.4% to +2.5%), and +2.2% over 20.
After 181 past bullish weather events, Palm Oil moved a median +0.5% over 5 sessions (56% higher; middle half -0.9% to +1.9%), and +0.3% over 20.
Moves of each commodity's benchmark from the last close before the event. Historical reads pool past events of the same kind; they describe what happened, not what will. Not investment advice.