US Agriculture Sec. Perdue: No need for more farm aid after China trade deal


The US Department of Agriculture Secretary Sonny Perdue said, as per Reuters, that China will soon begin buying U.S. farm goods to meet the $40 billion in agricultural purchase agreements it made, alleviating growers’ need for more aid.

Key quotes

If China is going to achieve that, and we believe they are, we think they have to buy earlier than the traditional export season from the United States.

His remarks came one day after U.S. President Donald Trump addressed the convention, promising farmers that the deal will be good for them.

Perdue said the third tranche of a $16 billion aid package announced in May will be paid to farmers ‘imminently,’ but that they should not expect a 2020 aid package.

Chinese Vice Premier Liu He said Chinese firms will buy American products, ‘based on market conditions,’ raising doubts that the country will meet its commitments under the pact.

FX implications

News like this generally helps improve the market’s risk tone. That said, the USD/JPY, Gold and AUD/USD show a less reaction by the press time as traders await further clues after the US markets were off on Monday.

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.

Feed news

FXStreet Trading Signals now available!

Access to real-time signals, community and guidance now!


Latest Forex News

Editors’ Picks

GBP/USD attempts recovery amid as Johnson's condition is in focus

GBP/USD is trading above 1.23 as the focus remains on PM Johnson's condition. The 55-year old is in intensive care, receiving oxygen and Foreign Secretary Raab is in charge.

GBP/USD News

EUR/USD rises toward 1.09 amid a better market mood

EUR/USD is trading closer to 1.09, up amid falling coronavirus cases in the old continent and as German industrial output beat expectations with 0.3% for February. New US fiscal stimulus is also eyed.

EUR/USD News

Crypto starship starts the engines, pointing beyond limits

The bullish scenarios are fulfilled and bring the Top 3 to the launch pad. Ether's dominance shoots up and improves by more than 10% in a single day. The movement shows strong potential not seen since the 2017 bump.

Read more

Gold corrects from multi-week tops, slides further below $1650 level

Gold finally broke down of its Asian session consolidation phase and dropped to fresh session lows, around the $1645 region in the last hour.

Gold News

WTI probes $30.00 following latest recovery moves, eyes on API

WTI benefits from recent risk-on, upbeat comments from US President Trump. Oil traders may now wait for the private weekly inventory data from the American Petroleum Institute (API), prior 10.485M, for fresh direction.

Oil News

Forex MAJORS

Cryptocurrencies

Signatures