Soybean market operates amid uncertainties

According to data released by Hedgepoint Global Markets, September was marked by relevant movements in the international soybean and vegetable oil scenario. The reduction of 0.25 percentage point in the United States interest rate reinforced the perception of the beginning of a monetary easing cycle, in response to the economic slowdown. This cut reduced the interest rate differential against Brazil, appreciated the real, and brought impacts to the competitiveness of agribusiness in foreign trade. In the global market, the absence of a trade agreement between the United States and China maintains tariffs on American agricultural products, which reduces the attractiveness of U.S. soybeans. This gap has been filled by Brazil, and also by Argentina, which has gained ground with recent fiscal incentives. In the climatic field, the transition to the La Niña phenomenon emerges as a risk factor. The pattern may cause drought in southern Brazil and Argentina between October and December, ...