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U.S. farmers planted more soybeans than corn in 2018 for the first time in over three decades, betting on Chinese soybean demand. Lost soybean sales to China have undermined that bet, with tariffs now potentially favoring a return to corn.
A shift in acreage from soybeans toward corn would change future supply balances for both crops and influence feed ingredient prices. The lost China demand weighs on soybean and meal values.
wsj.comJesse Newman and Jacob BungeOct 28, 2018After 729 past bullish trade events, Corn moved a median +0.4% over 5 sessions (56% higher; middle half -1.1% to +1.8%), and +0.5% over 20.
After 803 past bearish trade events, Soybeans moved a median +0.0% over 5 sessions (51% higher; middle half -1.7% to +1.7%), and +0.9% over 20.
Moves of each commodity's benchmark from the last close before the event. Historical reads pool past events of the same kind; they describe what happened, not what will. Not investment advice.
