The dry weather has decided to stick around in South America. This is not so great for Brazil’s safrinha crop corn, but it is helping with harvest progress. Allendale commodity broker Greg McBride said the weather right now is a bit of a double-edged sword.
Due to its climate, it always seems like the crops in South America are all constantly in different stages of the growth cycle. As such, the current weather is both good and bad for the crops down there. McBride said the dryness will help the soybeans get out of the field, but it could be harmful to Brazil’s safrinha corn, which is where most of their corn production comes from.
McBride also provided a crop progress update for Brazil and Argentina.
Recently, we’ve seen the grain markets start to turn lower. This isn’t necessarily a huge cause for concern yet- there’s still plenty of outside influences that are contributing to this trend. McBride said it’s good to be cautious, but we should try to be moderate with our concerns.
The team at Allendale can be reached by calling 800-262-7538, or you can visit allendale-inc.com.