Investor’s Business Daily is reporting that President Trump will announce a China trade deal later this afternoon.
Trump and Chinese Vice Premier Liu He are set to meet in the Oval Office this afternoon.
Trump is expected to play up concessions agreed to by Beijing. China is expected to increase its purchases of U.S. agricultural goods.
“The key will be whether these are true concessions – enforceable elimination of trade barriers and tariffs on U.S. farm products, including soybeans, corn, DDGSs, wheat and ethanol, to name a few – or whether it’s just China’s commitment to step up purchases,” said Bryce Knorr, Farm Futures senior grain market analyst. “China needs soybeans right now because Brazil’s supplies are exhausted. But even if they wind up taking 30 million metric tons as reported, total U.S. exports likely would still be 10% lower than they were before the trade war began.”