CBOT soybeans near seven-week low on US-China trade worries

Parvez Jabri July 31, 2019

CHICAGO: Chicago Board of Trade (CBOT) soybean futures neared a seven-week low on Tuesday as traders worried about the US-China trade war that has slowed exports of American crops.

* CBOT August soybeans declined 7 cents to $8.78-3/4 a bushel. The contract hit its lowest price since June 12.

* New-crop November soybeans lost 7-1/2 cents to close at $8.96-3/4 a bushel and also reached their lowest price since June 12.

* CBOT August soymeal slid $3.90 to $300.30 per short ton, and August soyoil slipped 0.12 cent to settle at 28.31 cents per pound.

* As trade talks between the world’s two biggest economies resumed on Tuesday, US President Donald Trump warned China against trying to wait out his first term in office to finalize a deal.

* Trump also said China appeared to be backing off on a pledge to buy US agricultural products.

* “President Trump tweeted some rather harsh criticisms of the Chinese government,” said Karl Setzer, commodity market risk analyst for AgriVisor. “It’s really just turned into a greater debacle than what we had before.”

* China, the world’s top soybean importer, imposed tariffs on imports of US soy last year as part of the countries trade war.

* Worries about weakened demand from China have also loomed over the soy complex as a fatal pig disease has reduced the need for soybean imports for hog feed.

Copyright Reuters, 2019

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