Loading…
President-elect Trump's campaign threats of 45 percent tariffs on Chinese imports and renegotiating NAFTA have prompted Chinese officials to warn of retaliation against US farm goods. Rabobank says the uncertainty is reducing foreign investment appetite in US food and agriculture.
US ag exports reached about $127 billion, with China taking roughly half of US soybean output in some years.
Possible Chinese retaliation against US soybeans and other farm exports would threaten a key demand outlet and could pressure soybean and meal prices, while NAFTA uncertainty adds risk to corn and meal flows to Mexico.
cnbc.comJeff DanielsNov 18, 2016After 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.
After 384 past bearish trade events, Soybean Meal moved a median -0.2% over 5 sessions (47% higher; middle half -1.7% to +1.6%), and -0.5% over 20.
After 683 past bearish trade events, Corn moved a median -0.2% over 5 sessions (47% higher; middle half -1.7% to +1.6%), and +0.3% 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.
