China
Morgan Stanley downgraded China to slight “underweight” from “equal weight” in emerging markets, with analysts noting efforts to revive the economy and a Republican sweep of Congress and the White House could significantly impact markets.
Jerry Gulke, president of the Gulke Group, says the election might have brought about a paradigm shift in the approach to agricultural policies.
The good news is a Trump presidency and Republican-controlled Senate might result in fewer regulations and lower taxes. The bad news is the U.S. could be headed for a possible trade war with China and other countries.
Chinese President Xi Jinping would much prefer to avoid a tariff battle that risks proving much more devastating than the first round.
China braces for continued superpower rivalry regardless of the U.S. election outcome.
The race tightened over the weekend as the Des Moines Register’s final presidential poll shockingly had Harris up three points in the state, underscoring that the election will be closer than current market expectations
Mike Minor with Professional Ag Marketing says soybeans saw a nice short covering bounce on the heels of a rally in soybean oil and more flash export sales to China and unknown.
Mike Zuzulo, Global Commodity Analytics, says wheat led gains putting in risk premium on the low crop rating which triggers some short covering and corn followed.
Tommy Grisafi, Advance Trading, says grains faded bullish export news and closed lower Friday and for the week.
Craig Turner of StoneX says end users have seen current grain prices as a value which has supported the markets and if you add in inflation grains could be carving out new trading ranges.