The long weekend brought some much-needed rains and cooler temperatures to parts of South America.
In this week?s South American Weather and Crop Update, Allendale commodity broker Greg McBride said there?s some rain in the forecast still for the next 10 to 15 days in South America, which contributed to the lower bean prices in the U.S.
?As we went through the long weekend here, we did see active rains fall across Argentina and Uruguay,? McBride said. “There was some rain in southern Brazil, but not a ton. As we move into looking at the actual forecast, the 1-to-5-day does still show active rains in Argentina and southern Brazil, so that will help. They also have cooled the situation down over the next 10 days as well. They had been seeing some extreme heat. Obviously, that puts a lot of stress on the crops, so the addition of rain and the backing off of those temperatures looks pretty good for development in Argentina. Southern Brazil will need to continue to need to see some of this rain, but there are forecasted rains for that area for the next 15 days. Right now, that would give you an indication of why we?re seeing the beans especially backing off the way that they have.?
McBride also provided an update on planting progress in Argentina.
?Argentina is very nearly complete right now on their corn,? McBride said. ?They are at 85%- that?s just behind the 5-year average of 88%. They only moved forward by 1% last week, and a lot of that is mainly due to some of those rains that were coming in. On their soybean progress, they are in-line with the 5-year average at 95% right now, so just about complete there as well.?
The team at Allendale can be reached by calling 800-262-7538, or you can visit allendale-inc.com.
