November 15, 2019
Corn is down 2 and soybeans are up 4 to start the day.
More back and forth talks about the US and China, and more of the same coming out of the White House. Comments that they are getting close to a partial deal continue to be the talk, but still no deal.
The decision by China to allow US poultry into the country had to have helped, lifting the ban from 2015. If the US government is feeling the doors more wide open a trade agreement is much more likely. Unfortunately this has nothing to do with more free trade, and everything to do with rampant food inflation brought by AFS.
I still believe that we are along ways away from any deal getting done that would significantly support US grain markets. In my opinion, the Chinese still hold the key to getting a deal done with all the pressure on President Trump.
South American weather has been very favorable with rains moving across Brazil and Argentina which is very welcome. There are only small pockets of Argentina and North Eastern Brazil that remain dry. This should support their intentions to plant more corn and beans than last year which will continue to put pressure on US exports.
Forecasts locally for the next week look favorable for harvest progress with slightly warmer and dryer conditions in the forecast thru next Thursday.
Have a Safe Weekend!