Soybean prices deepen their losses after Trump threatened to set up massive rates on China

Soy futures extended losses on Friday after US President Donald Trump threatened to impose more rates on Chinese goods and said he saw ‘no reason’ to meet with Chinese President Xi Jinping. Trump’s social media post contributed to the undermining of the hope of closing a trade agreement between the United States and China, which would resume US soybean exports. Chicago soybean futures dropped to 1.9% to $ 10,0275 per bushel, with their lowest levels of the session, the largest daily decline since July 7. Trump cancels his meeting with Chinese president and threatens Beijing with ‘massive’ customs. Earlier, China announced the imposition of special duties on US ships in its ports, in an retaliation suggesting that the tensions between the two parties are likely to continue. These fees are supposed to come into effect on October 14, the same day that Washington plans to set up new fees on large Chinese ships visiting US ports. “This market drove on the hope of a commodities trade agreement with China, but a dose of realism came in last night,” says Arlan Soderman, chief economist of the commodity at Stonex. “That doesn’t mean we won’t get a deal, but the market is now working on the reality of how difficult it will be to achieve it.” American farmers have not yet sent any consignments from soybeans to China, the largest importer in the world, during the current season. Trump said on Thursday that he intended to discuss this export with the Chinese president at a meeting planned for the end of this month. Soybean prices are still falling in Chicago. November’s soy futures delivery dropped 1.7% to $ 10,0525 per bushel at 10:19 in Chicago. Wheat futures for the December delivery fell 1.6%, and wheat by 1.2%.