China
Soybeans recovered on Tuesday on market talk that China was looking to buy soybeans off the Pacific Northwest says Jim McCormick with AgMarket.Net.
Grain and cattle futures ended mostly lower on Monday caught up in money flow and the selloff in the stock market tied to tariff concerns says Mike Minor with Professional Ag Marketing.
Brad Kooima with Kooima Kooima Varilek says the USDA Cattle on Feed report was providing some support. The on feed number came in at 98% of a year ago, placements were at 95% which was below trade estimates and marketings were at 87%.
Shawn Hackett with Hackett Financial Advisors says the market fears that China will use the ruling as leverage to get out of its trade framework struck with the U.S. on Oct. 30 and that could include its soybean purchase commitments.
Brad Kooima of Kooima Kooima Varilek says cattle futures are getting overbought and ran into another layer of chart resistance Wednesday but higher cash could push the market to new highs.
Darin Newsom, Senior market analyst with Barchart, Inc. says the algorithm traders have been chasing the headlines of the China story and increased biofuels blending levels.
A minister with the Chinese Embassy calls for a “bigger-picture” relationship and expanded ag investment as Secretary of Agriculture Rollins and Secretary of War Hegseth sign a security pact to protect U.S. food systems.
Mike Zuzolo with Global Commodity Analytics says soybeans saw continued resilience due to strong demand including expectations of renewable biofuel increases.
Soybeans started off slightly lower on corrective selling but quickly found buying interest says Randy Martinson of Martinson Ag.
Jerry Gulke, president of the Gulke Group, says many are skeptical, based on past experience, that China will honor the deal to buy the additional soybeans for this marketing year.