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June 4 – Trade War Tantrum Hits Soybean Prices | FarmLead

Grain prices started the week deep in the red thanks to ongoing concerns about Chinese-U.S. trade relations and the wave of favorable weather across the United States. Improving forecasts pulled wheat prices down more than 3%, while soybean prices slumped after trade discussions between the world’s two largest economies offered little progress.

Let’s take a look at soybean prices and more at the Chicago Board of Trade.

Soybean Prices Slump
It doesn’t appear that the United States was able to make much progress in conversations with China. The lack of progress has markets increasingly concerned that China will restart chatter about tariffs on U.S. soybean cargoes.

On the trade side, the USDA said that export Inspections of soybeans came in at 20.5 million bushels (557,733 MT). That figure was down from last week, but 94% higher than the same period in 2017.

Corn Prices Retreats

Corn prices took a punch on Monday.

The U.S. corn crop is looking quite strong thanks to recent rains and warmer temperatures. As we noted over the weekend, some farmers are pleased that they’re seeing knee-high corn to start the month.

Improving weather offset optimistic numbers from the European Commission. The EC cut its forecast for European corn production by roughly 40 million bushels. They also hiked their import projections for 2017/18 from 590.5 million bushels to 645.6 million bushels.

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June 4 – Trade War Tantrum Hits Soybean Prices – FarmLead.