Briefs for Saturday

WASHINGTON – U.S. consumer borrowing rose by a strong $25.8 billion in March, the second-straight month of sizable gains and a further indication that the economic recovery is gaining steam.

The March gain reported Friday by the Federal Reserve followed an even larger $26.1 billion consumer-borrowing rise in February.

The two monthly increases were the biggest monthly gains since a $26.8 billion increase in December 2019, before the pandemic hit.

The March borrowing advance reflected a $6.4 billion increase in the category that includes credit cards and a $19.4 billion rise in the category that covers auto loans and student loans.

Consumer borrowing is watched closely for signals it can send about households willingness to borrow to finance their spending. Consumer spending accounts for two-thirds of U.S. economic activity.

China extends corn buy spree

China made one of its biggest purchases of corn in U.S. history, a sign that its buying spree of grain off of world markets isn’t over.

The Asian country bought 1.36 million metric tons for the marketing year that begins Sept. 1, according to the U.S. Department of Agriculture.

That comes on top of more than 20 million tons it already bought in the current season as it looks to rebuild a growing hog herd that was previously decimated by African swine flu.

Chinese buying has been a key factor in driving global grain prices to multiyear highs.

Bad weather, especially the drought that’s currently threatening Brazil’s corn crop, is also adding to worries that a supply crunch is coming.

Corn futures have doubled in the past year, climbing above $7 per bushel earlier this week for the first time since 2013. The most-active futures traded at $7.165 per bushel as of 9:32 a.m. in Chicago.

From wire reports