Monday February 22, 2021

  • Markets on an uptick to start the week with new crop soybeans posting a new high 
  • Soybean market attributing their rally to concern in South American weather as well as China stepping back into the global buying arena after its Lunar New Year holiday 
  • Brazilian field work remains slow – Northern Brazil looking to get too much rain in the 10 day forecast slowing harvest with Southern Brazil and the majority of Argentina looking to remain too dry 
    • Brazils harvest now expected to be at 16% complete – that is 18% below last years comparable 
      • Slow soybean harvest has in turn slowed the safrinha corn planting – now 23% complete compared to last years 51% completion 
      • Due to the high profit potential for Brazilian corn this year it is expected that farmers will plant corn longer into more questionable conditions in hopes the rainy season will carry them into May 
  • Chinese government expecting hog herd to get up to 2017 levels (pre ASF) by June of 2021 – however the market place doubts this lofty goal