Soybeans Climb Above $12 on 706,634 Tons of New Sales to China and Mexico

Q: Why is gold, the ultimate safe-haven asset, falling during a massive stock market sell-off?

Gold is falling because, in this sell-off, the market is rewarding cash and yield more than traditional havens. The immediate driver in Friday’s trade is the firmer U.S. dollar. The Dollar Index was up, and gold is priced in dollars, so a stronger greenback makes bullion more expensive for non-U.S. buyers and tends to pressure prices. At the same time, investors are still focused on relatively high interest rates and bond yields. Gold does not pay income, so when rates stay elevated, the opportunity cost of holding it rises. There is also a liquidity effect. In sharp equity declines, investors often sell what they can, not just what they want to. That means gold can be liquidated to raise cash, meet margin calls, or reduce overall risk. This happened in past stress episodes, including 2008 and the 2020 pandemic panic, when gold initially fell before recovering. Positioning matters too. Gold had already surged to record highs earlier in 2026 and remains one of the year’s strongest performers despite recent volatility. After such a run, some investors are taking profits, which can amplify downside moves during broader market stress. So the drop in gold does not necessarily mean it has lost its safe-haven role. It means that, for now, dollar strength, high-rate expectations, and forced selling are outweighing haven demand. Over longer periods, worsening economic or geopolitical stress can still support gold again.

3 articles · Updated · DTN The Progressive Farmer · Jul 17

November soybeans rose 8 3/4 cents by midmorning and moved back above $12, while December corn added 2 cents and September KC wheat gained 13 1/2 cents.
USDA said private exporters sold 340,000 metric tons of soybeans to China, 256,634 tons to Mexico and 110,000 tons to unknown destinations for 2026-27 delivery, fueling the advance.
Soybean oil and wheat accelerated gains later in the session, while corn stayed only moderately higher.
Outside markets were mixed: August crude oil climbed $2.21 a barrel and gold rose $24.10 an ounce, while the Dow Jones Industrial Average was down 22.49 points.