Grain News – Trade Negotiations Dampen, Market Defensive
Well, the rain is the news around here, but the World is talking exports and tariffs. China has indicted they don’t need the US for beans until early 2019. China has enough on hand or can import from different countries until then. Russia continues to play games with wheat; they stated there is no need to impose an export tax or slow exports. Argentina is financially failing and reinstating export taxes on grains. US grain barge rates continue to increase, up 30% for marketing 2018/2019.
We continue to see diseases in corn. Keep in touch with your agronomist and crop insurance agent. The market is trading both sides of the market.
Trading negotiations between US and Canada broke off on Friday with no deal. No signing of deal with Mexico. Sounds like we will not sign until next year at this point.
Funds continue to be long in wheat and short in corn and beans. The market continues to be defensive due to yield and slow export program during harvest.
Make sure to keep working your offers and start marketing Fall 2019 with offers. We still have options for helping you market your old and new crop.