There are many similarities between the U.S. and EU, but many differences as well. When the common currency euro was introduced in 1999, it was valued at the equivalent of $1.16. It hit a peak of €/$1.58 in 2008 but has since slid back and is currently at €/$1.07. The forecast has it rising to €/$1.11 near the end of this year and then sliding lower. The exchange rate is important, particularly for trade in higher value food products. The determinants of that rate are complex and imprecise. One factor should be core interest rates. The European Central Bank has hiked interest rates but is a full percentage point behind the U.S. federal funds rate. Just as the Federal Reserve could hike again, so could the ECB.
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What You Need to Know Today: There has already been a strong run of flash soybean sales announcements in recent weeks, but more than 1.4 MMT reported this morning is an exceptionally large single-day total with major implications for the market. If the sales to China and unknown destinations w...
On Friday, at 6:57 AM, President Donald Trump announced, via a social media post, a 90-day window during which up to 300,000 metric tons of product for ground beef could be imported outside of tariff-rate quotas—a move aimed at bringing down costs for American consumers. This is the secon...
