Meeting between China and USA may bring down soybean prices

The soybean market is experiencing a moment of uncertainty and depends directly on the direction of international politics and the weather. According to an analysis by TF Agroeconômica, the upcoming meeting between Donald Trump and Xi Jinping will be decisive for the price trend. If there is an agreement and China resumes buying American soybeans, the contracts in Chicago (CBOT) are expected to rise and prices in Brazil to fall, which would indicate immediate selling. On the other hand, if China chooses to reduce its dependence on the US and prioritize only South America, the CBOT may fall, but Brazil would maintain relatively high prices, even though the producer's profit would be reduced due to the increase in the local harvest. Among the factors driving prices up, the expectation of a multibillion-dollar aid package from Trump to American farmers stands out, estimated between $10 billion and $15 billion, which could sustain prices in the short term. In Brazil, the firm demand ...