Dry weather has continued to harass the crops in South America, especially since some of them are still in crucial growing periods. Allendale commodity broker Greg McBride said we will likely see lower production estimates in the next CONAB report as a result.
McBride also provided crop progress updates for Brazil and Argentina.
The weather in South America has been less than cooperative so far this year. McBride said this is why we see their crop ratings continue to drop.
When countries like Brazil and Argentina have crop issues, that?s usually a good thing for U.S. grain prices, and it still is. However, with all of the spotlight on U.S. crops, there?s a lot of pressure for them to perform well this year. McBride said that?s one of the main reasons why U.S. grain prices are so high right now.
McBride also provided some advice for Iowa producers, especially for those who are worried about starting planting late.
The team at Allendale can be reached by calling 800-262-7538, or you can visit allendale-inc.com.
