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Back and forth trade dispute leads to continued market volatility

Photo of Jim McCormick by Brent Barnett/Brownfield

An ag economist says the trade dispute between the U.S. and China has created some uncertainty for the commodity markets.

“These tariffs that we have on their products and they have on our products, you can’t keep this going,” said Jim McCormick with AgMarket.Net.

McCormick says there are some fears President Trump could reimpose reciprocal tariffs in May. “It may not affect agriculture quite as much but where you do need to watch out is for the bond market and the dollar.”

But he tells Brownfield as the dollar weakens, “it does keep us more competitive on the export market even with some of these tariffs. So, the weaker dollar has helped a little bit at least on the ag export part of the equation.”

McCormick says the on again, off again tariff actions lead to continued volatility in the market.

AUDIO: Jim McCormick with AgMarket.Net