Soybeans and corn futures extended gains as crude oil jumped after hostilities in the Middle East escalated, boosting the appeal of biofuels.

The agricultural markets responded to heightened geopolitical risk as oil prices surged on concerns over supply disruptions. Higher crude values typically increase demand for ethanol and biodiesel, which are produced from corn and soybean oil respectively.

Traders monitored developments closely as the conflict introduced fresh uncertainty into global energy and commodity supply chains. The rally in grains reflected expectations of stronger biofuel blending margins.