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China possibly stockpiling as U.S. soybean purchases continue

Chinese demand for U.S. soybeans is improving.

Michael Cordonnier with Soybean and Corn Advisor tells Brownfield low prices are generating business.

“Imports have picked up for sure, and you know what they say, ‘low prices cure low prices.’ So they’re very savvy traders, they saw these low prices (and) took advantage of it. And they may be stockpiling.”

He says that’s because of potential trade disruptions based on the upcoming election, as well as planting problems in Brazil.

“That’s going to give them maybe a couple of weeks longer window for U.S. exports before South America comes online.”

Cordonnier says dry conditions are delaying soybean planting in central Brazil.