By NATHAN STUEDLE
St. Joseph Post
GRAINS:
May corn closed up 2 3/4 cents and December corn was down 3/4 cents. May soybeans closed down 34 1/2 cents and November soybeans were down 32 3/4 cents. May KC wheat closed down 11 1/2 cents, May Chicago wheat was down 7 cents, May Minneapolis wheat was down 4 cents.
For the week:
May corn closed up 7 cents and July corn was up 7 1/4 cents. May soybeans closed down 46 cents and July soybeans were down 44 1/4 cents. May KC wheat closed up 5 3/4 cents, May Chicago wheat was up 3/4 cents and May Minneapolis wheat was up 3 1/2 cents.
Friday was overall a red day across markets -- both financial and agricultural -- as investors and traders continue to attempt to sort out the consequences from this week's tariffs announced by the Trump administration. The headline news to begin the day was China's announcement of a 34% blanket tariff of its own on all imported goods from the U.S. Soybeans, as one would expect given the significance of China for that commodity, took the news especially hard, dropping over 40 cents at one point on nearby May futures before finding at least some degree of stabilization by the close, albeit still down 3.41% for the session, and down over 5% since the U.S. tariff announcement Wednesday. Corn futures have again proven somewhat insulated from the effects as the trading relationship with China is not a significant one currently for U.S. corn. Wheat markets were caught in the middle, not hit quite as hard as soybeans, but still pressured primarily by an attempted recovery in the U.S. dollar through the session Friday. In outside markets, stock indices posted their worst session since the early days of the COVID-19 pandemic on Thursday and continued that weakness into the weekend with the Dow Jones Industrial Average down another 1,900 points. Meanwhile, interest rates have also moved sharply lower as investors flock to bonds amid the market turmoil.
LIVESTOCK:
Live cattle futures traded sharply lower Friday in reaction to additional tariff concerns and announcements that China is implementing corresponding tariffs starting next week. The overall lack of support in all livestock markets is following the pattern of sharp losses in the stock market and financial trade.
Feeder cattle futures were sharply lower Friday with traders continuing to focus on the potential that this week's round of tariffs will have prolonged reactions. The announcement that China is implementing offsetting tariff actions starting next week is another indication of market problems. We could see expanded limits Monday, and if the continued bearishness holds over the weekend, this could continue to wipe out all of the gains seen this year.
Lean hog futures moved sharply lower, also focused on tariff levels and the announcement that China will impose tariffs starting next week. A close at these levels would indicate expanded trading limits Monday, creating potential additional pressure early next week.
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