FX.co ★ Soybean Futures Hit Five-Week High

Soybean futures experienced an uptick, nearing $10.4 per bushel, marking the peak in five weeks. This rise is attributed to growing optimism surrounding a potential trade agreement with China, the leading soybean importer. U.S. President Donald Trump expressed a positive outlook ahead of his forthcoming meeting with Chinese President Xi Jinping in South Korea, underscoring the potential for renewed, substantial soybean purchases. Additionally, support is coming from Japan, where the new administration is preparing a strategic package, including U.S. soybeans, to discuss with Trump during trade and security discussions. In the meantime, Brazil, the leading global soybean exporter, is anticipated to achieve a record harvest of 178.5 million metric tons by the 2025/26 season, up from last year’s 171.8 million metric tons, according to Abiove, the association of Brazilian oilseed industries. However, the U.S. Department of Agriculture’s weekly export sales report is currently suspended due to a federal government shutdown, prompting markets to depend on private surveys to gauge short-term demand trends.