Coronavirus, trade on the mind
GIFFORD – All eyes were on the president’s signing of USMCA Wednesday but the big story continues to be the coronavirus.
“We saw some buying yesterday, a little short covering and a little export news but rallies are going to be limited until the world becomes a little more comfortable with this virus,” said Curt Kimmel of Bates Commodities at Midwest Ag Expo.
Regarding USMCA, Kimmel feels it is important to make sure we keep Canada and Mexico happy as Mexico has been a huge buyer of our pork and corn.
Kimmel is also keeping a close eye on the southern hemisphere as Brazil is entering the early stages of harvest with 6-7 percent complete.
“Early bean yields are good so that’s going to be the focus,” explained Kimmel.
Several boats are heading south to load beans and meal. It is going to take a port strike, dock strike, weather or something else to get the trade to shift focus back to the northern hemisphere.