At a U.S. Soybean Export Council event, a Chinese trade official cited plans to cut the typical soymeal content in the swine ration from 20 percent to 12 percent. “China is trying to put their hogs on a diet,” was the response from Naomi Blohm, senior market advisor for Stewart-Peterson. “Essentially, they’re feeding less soybean meal. That’s China’s way of saying they don’t want U.S. soybeans right now.” Blohm believes a lot of the negative news was priced into loss of potential trade and potentially larger yields.” In the November soybean contract, Blohm adds one factor to be mindful of is the $8.25 price support area. “The next target lower is closer to $8, and then that takes us back to lows we haven’t seen in decades.”
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