Soybean Futures Show Minimal Change Amidst Rapid Harvest and Trade Hopes
US soybean futures experienced only slight changes on Friday, as the pressure from a rapidly advancing harvest in the United States counterbalanced the support provided by hopes that upcoming talks between the US and China might revitalize stalled soybean trade.
Corn Futures Decline Due to Anticipated Record Harvest
Corn futures fell due to expectations of increased supply from a potential record harvest in the US. Meanwhile, wheat prices rose because of short covering and technical buying.
Soybean’s First Weekly Gain in Three Weeks Following Trump’s Comments
Soybeans saw their first weekly increase in three weeks, rising over 30 cents per bushel from mid-week lows after US President Donald Trump mentioned that soybeans would be a significant topic of discussion when he meets with Chinese President Xi Jinping in four weeks.
Government Official’s Optimistic Outlook on US-China Trade Talks
US Treasury Secretary Scott Bessen predicted a “significant advance” in talks between Trump and Xi on Thursday, while also highlighting the US government’s assistance to US soybean farmers.
Soybean Market Remains Tethered by Below-Normal Export Sales and Large US Harvest Expectations
China, the primary market for US soybeans, has yet to purchase US soybean crops from the upcoming fall harvest.
Corn Futures Fall Amidst Anticipated Record Harvest and Government Data Delay
The corn harvest in the US is progressing swiftly, aided by warm and dry weather in the Midwest’s corn-growing belt. However, government data tracking harvest progress will not be available due to the US government shutdown.
The stalemate in Washington is also likely to postpone the release of a crucial supply and demand report for crops next Thursday.
Key Questions and Answers
- What happened to US soybean futures on Friday? Soybean futures showed minimal change, with a slight decrease of 5.75 cents to $10.18 per bushel, following a previous quote of $10.2875.
- Why did corn futures decline? Corn futures fell due to anticipation of a record-breaking harvest in the US, which would increase supply.
- How did wheat futures react? Wheat futures rose due to short covering and technical buying.
- What led to soybean’s first weekly gain in three weeks? US President Donald Trump mentioned soybeans as a significant discussion topic during his upcoming meeting with Chinese President Xi Jinping.
- What is the current status of US-China trade talks? US Treasury Secretary Scott Bessen predicted significant progress in the talks, but the government shutdown has delayed crucial supply and demand reports for crops.
- Why haven’t Chinese importers purchased US soybeans for the upcoming fall harvest? There has been no confirmation of purchases yet, leaving the soybean market tethered by below-normal export sales and large harvest expectations in the US.
