Buzz About Phase One Signing at Fort Wayne Farm Show
At the Fort Wayne Farm Show on Tuesday, there was a lot of buzz about the Phase One Trade Deal being signed in Washington, D.C. More importantly, what will happen to the markets once pen meets paper.
“Expectation is that it’s the same old, same old. That it’s already built in,” says Allen County Farm Bureau President Roger Hadley. “But on the same token, a lot of people have been waiting to see this signed, so I’m hoping we’ll see a bit of a bump from it. If it is, I’m afraid it’s short term because I really think it’s built in the markets. The real anxious part that we’re waiting for is Phase Two and to see more stuff on ships going out to China.”
Market analyst David Kohli with Allendale-inc.com also believes the China deal is already factored in, but he’s still optimistic.
“That’s why they call it the futures market. They’re always looking ahead, so they’ve dialed it in. So, the old quote, sorry to say, buy the rumor, sell the fact. But I think this is different because this is hard facts and trade and improving things. Yes, it might sell off some, but I look for the market to move back. It’s not going to be one of these deals where it falls apart.”
After signing the deal with China on Wednesday, President Trump will then make his way to Austin, TX to address the American Farm Bureau Federation Annual Convention on Sunday. Hadley will be there and is looking forward to hearing what he has to say.
“I know he’ll be touting it. I know he’ll be touting all the good stuff he has done for farmers whether it’s the ‘Trump money’ that we got for prevented planted acres… He has been a friend of farmers. He has tried to protect our interests as best he could with his limitations through Congress.
Hadley really hopes to hear from Trump about Phase Two progress.
Hoosier Ag Today will be in Austin, TX to provide coverage of President Trump’s address to the American Farm Bureau Federation Annual Convention and other policy news from Farm Bureau.