Soybeans plunge to near their lowest level in a decade
- Soybean prices fell more than 1% on Tuesday amid a quickly advancing US harvest and an escalation in trade tensions with China.
- The legume was trading near its lowest level since 2008.
- Watch soybeans trade in real time here.
Soybean prices fell to a decade-low on Tuesday after data pointed to a quickly advancing US harvest and as the Trump administration escalated trade tensions with the China, the largest destination for American exports of the legume.
The legumes were trading at $8.12 a bushel, near the lowest level since 2008, on the Chicago Board of Trade after President Donald Trump announced another round of tariffs on $200 billion worth of Chinese imports. Beijing responded with retaliatory duties on $60 billion worth of American imports.
China hit American soybeans with retaliatory import taxes in July after the Trump administration rolled out tariffs on $50 billion worth of its goods. That country is the largest soybean customer in the world, using them in part to feed livestock. It imported nearly 60% of soybeans traded around the world in 2017.
Demand concerns come just after government data showed strong conditions for a record US harvest. A Department of Agriculture report out Monday said the soybean harvest was 6% complete, beating analyst expectations and doubling the five-year average.
