World animal feed market until November 25, 2019: Wheat rose for the second session in a row

At 9:10 am on November 25, 2019 (Vietnam time), the price of wheat in the US increased for the second session in a row, supported by arable area in the US and a decline in wheat production in Australia.

Soybean prices rose, but not far from the eight-week low on Friday (November 22, 2019), under pressure to fall under suspicion of a US-China trade agreement and the weather in South America. improve.

Wheat futures in December 2019 on the Chicago floor increased 0.2% to 5.19-3 / 4 USD / bushel.

Price of soybean futures in January 2020 on Chicago floor increased 0.1% to 8.97-1 / 2 USD / bushel, after touching the lowest level since September 30, 2019 ($ 8.96 / bushel). ) on Friday (November 22, 2019), while corn prices were unchanged at US $ 3.68-3 / 4 / bushel.

Wheat prices are backed by a lack of buying activity and concerns about a decline in wheat acreage in the United States. The rate of US corn and soybean harvest this fall could limit the winter wheat area in 2020.

The area of ​​American wheat in 2019 reached 45.2 million acres, the lowest since 1919.

The soybean market faces pressure due to uncertainty about the prospect of a preliminary trade agreement between the US and China, the world's top soybean importer. “The trade talks between the US and China are still ongoing,” said Tobin Gorey, director of agricultural strategy at the Commonwealth Bank of Australia.

Last week's report said the initial deal could be delayed until 2020.

However, US President Donald Trump told Fox News that a deal “is likely to be very close”, increasing optimism following the comments of Chinese President Xi Jinping that Beijing wants to make. 1 original deal.

In addition, the soybean market is under pressure due to favorable weather forecasts in major growing areas of Brazil and Argentina – the No. 1 and No. 3 producing countries in the world. The US is the world's second largest soybean producer.

Prices of some items on November 25, 2019:

Source: VITIC / Reuters