Soybean prices plunge to near their lowest level in a decade

Farmer
John Duffy and Roger Murphy load soybeans from a grain bin onto a
truck
Scott Olson/Getty
Images

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 comes 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. 

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