The price of wheat reached its lowest level since 2020 - 4.9 USD per bushel - against the backdrop of deteriorating trade relations between the US and China. The price of wheat has fallen for the fourth consecutive day, Bloomberg reports, citing a report by the American market research company Hightower Report.
„Global demand for wheat will always exist, and the large amount of global stocks suggests that end users have no reason to actively buy it“, the Hightower Report states.
Due to the deterioration of relations between the US and China, the forecast demand for US soybeans is lower than expected.
On October 9, the Chinese Ministry of Commerce issued two documents to tighten export controls on rare earth metals and related technologies. On October 10, US President Donald Trump announced that the United States would increase tariffs on Chinese products by 100% starting from November 1 or earlier and impose controls on software exports. The total US tariffs on Chinese goods could reach 130%.
According to data from Chinese customs, trade turnover between China and the US in January-September decreased by 15.6% year on year to 425.81 billion USD.