The market conversations at the end of January were dominated by China. “Coronavirus cases are increasing and so are the fatalities. There are lots of fear and concern that China demand, in particular, could drop sharply if this becomes a bigger deal,” said Ted Seifried, Chief Marketing Strategist at Zaner Ag Hedge. “Global demand could also drop sharply if this really spreads aggressively.” Seifried said this is causing doubt on the trade deal between the U.S. and China. “At this moment, it seems like China’s attention is front-and-center on the coronavirus rather than trying to make good on the trade deal they have with us. There’s still disappointment China hasn’t come in to make major purchases and again, this is allowing us to believe they won’t anytime soon.”
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