FX.co ★ Soybean Futures Edge Higher as China Restores US Export Access

Soybean futures have edged up to approximately $11.00 per bushel, moving back towards the 16-month peak observed earlier this month. This comes after China announced it would reinstate export eligibility for three American companies starting November 10. This week, prices have been volatile as traders assess a series of events following the US-China trade agreement. During the China International Import Expo, Beijing entered into several agricultural purchase agreements, including soybeans, although the exact volumes purchased remain uncertain. Despite these positive indicators, US soybeans continue to face a 13% tariff, in contrast to a mere 3% tariff for suppliers from Brazil and Argentina, which hampers the price competitiveness of US exports. Additionally, the market is anticipating the US Department of Agriculture's November supply and demand report, which has been postponed from October due to the ongoing government shutdown.