Corn Lower Beans Higher Last Week
There was a lot of bearish news traders were talking about last week. Demand destruction with about half of ethanol plants shut down due to COVID-19 and people not traveling, livestock contraction due to processing plants shutting down or slowing production, and rapid corn planting progress in the U.S. So, it was a little surprising corn held as well as it did! Maybe all that bearish news was old news and already in the market?
Beans actually managed to close around 10 cents higher last week. There was confirmation that China did buy more beans and that helped prices. However, President Trump mentioned on Friday that he may put more tariffs on China because they allowed COVID-19 to spread and turn into a world wide pandemic. I saw a number of Senators and Representatives say over the weekend they were introducing bills to hold China responsible for the pandemic. Here we go again with another trade war?