- U.S. soybean futures rose 1.1% to $8.74/bushel to two-week highs on expectations the Trump administration would announce a $12B aid program to help protect farmers hurt by the side effects of trade disputes.
- Secretary of Agriculture Perdue says the government would provide “payments incrementally” to support prices of some of the hardest-hit commodities, including soybeans, sorghum, cotton, corn, wheat and pork.
- A food purchase program in which the government would buy crops from farmers helped lift soybean prices, says Charlie Sernatinger, global head of grain futures at broker ED&F Man Capital in Chicago, after the market neared a 10-year low last week over concerns about the U.S.-China trade fight reducing demand for American soy.
- But the administration’s plan may signal that the trade tensions will drag on, which is bearish for crop prices over the longer term, says Brian Hoops, president of broker Midwest Market Solutions in Missouri.
- In today's trade: CNHI +3.6%, DE +3.2%, TITN +2.5%, AGCO +0.6%, ADM +0.2%, DWDP +1.8%, BG +0.2%, MOS +2.2%, NTR +1.1%, CF +0.6%.
- ETFs: SOYB, DBA, RJA, DGA, JJA, GRU, AGA, WEAT, WEET, CORN, FUD, UAG, USAG, AGF, TAGS
- Now read: Wheat: Up, Down And All Around
Original article