Written Commentary
Ag Fundamentals: The second corn crop in Brazil may see some northeastern areas lack normal rainfall in the next 10-14 days. They are about a month into their growing season and moisture is critical. Brazilian corn prices have increased sharply over the last few weeks due to higher domestic ethanol demand and extreme weather concerns. Most of the Brazilian major 2nd corn crop growing areas will see above average rains the first 7 days of April. US weekly corn exports were on the high side of the estimate range, and still above pace to meet USDA corn export expectations. Wheat and soybean weekly export sales were near the bottom of the estimate range. Soybean meal was in line with expectations and soybean oil was reported double the high side of the estimate range at 44.5K MT. Tomorrow and Monday morning the market will be placing their bets on Monday’s stocks report, releasing at 11:00am CST. Today according to Bloomberg, the average estimate for corn acres is 94.4M, soybean acres 83.8M and all wheat acres at 46.5M acres
Precipitation Anomalies for the First 7 days of April has some of the northeastern Brazilian 2nd corn crop growing regions expecting lower than normal precipitation.
Weekly Export Sales Estimates (for week ending 3/21)
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