Beans up 4 to 5
Corn bulls are struggling with the US dollar reaching new highs, disappointing ethanol production announced (down 9% from last year), and South Korea announcing their 6th case of African Swine Fever. South Korea is a major buyer of US corn, and any disruptions could reduce demand. Lastly, Argentine corn is offered at prices well below the Gulf.
Beans are recovering some of yesterday’s loss as the bulls continue to hold hope that the US and China will come to a trade deal soon, and expect positive exports numbers today. Negative to the bean market is no major killing frost in the forecast, and improving weather for beans in South America.
Other trade news: Japan and the US are working on agreeing on a limited trade act to reduce tariffs by $2.9 billion for US beef, pork, and other US Ag products, along with an additional $3 billion worth of tariffs released in stages on wines, cheese, ethanol, and other items.