Soybean Futures Rally on Hopes of Chinese Buying After Trump-Xi Meeting
US soybean futures saw a rally on Monday as traders anticipated an increase in Chinese buying of American crops following a meeting between US President Donald Trump and Chinese President Xi Jinping this week.
The Chicago Board of Trade reported that soybean futures climbed, with corn and wheat futures also advancing. The White House announced in May that China had committed to purchasing at least $17 billion of US agricultural products in 2026, 2027, and 2028.
Traders hope that the Thursday meeting will result in a trade deal or tariff reductions, which would allow private Chinese buyers to resume purchases. However, they must first see Beijing remove a 10% import duty on US soybeans, said Matt Ammermann, commodity risk manager at consultancy StoneX.
US weather conditions were also being monitored, with concerns about rain delaying farmers' harvests in parts of the Midwest. The US Department of Agriculture reported that the corn harvest was 13% complete as of Sunday and soybeans were 12% harvested, ahead of their five-year averages.