Soybeans sag as traders wait for details on US-China summit
DBA•Soybeans, corn and wheat futures fell Thursday as traders awaited details of potential US-China agricultural trade deals. Soybeans closed down 1/2 cent at $13.17-1/2 per bushel, corn fell 1-1/2 cents to $5.27-1/2, and wheat slipped 1-1/2 cents to $7.07.
1. Grain futures fall
Chicago Board of Trade soybean and grain futures slumped as traders waited to see whether a US-China summit would produce agricultural trade deals. Most-active soybeans closed down 1/2 cent at $13.17-1/2 per bushel; corn ended 1-1/2 cents lower at $5.27-1/2, and wheat slipped 1-1/2 cents to $7.07.
2. Trade details awaited
US Treasury Secretary Scott Bessent said the United States and China had agreed to extend until January 10 an agreement pausing a trade war in which mutual tariffs topped 100%. Traders hoped China would announce specific US crop purchases or remove a 10% tariff on US soybean imports. The White House said in May that Beijing had committed to buying at least $17 billion of US agricultural products in 2026, 2027 and 2028; one market strategist said traders had not seen evidence of follow-through.
3. Other market pressures
A fresh two-month high for the dollar added pressure by making US agricultural goods look more expensive to importers. Traders also watched renewed diplomatic efforts to end the Ukraine war and the outlook for Black Sea grain exports; Turkey said it had stepped up efforts to restore the corridor and received a positive response from Ukraine.
