By Jon Scheve, Superior Feed Ingredients, LLC
Market volatility is expected to continue for quite some time. Much of the 2020 U.S. corn and bean crop has been sold and China’s demand remains impressive. Even South American farmers have sold 50% more of their new crop beans than usual by this point. Therefore, many are uneasy about shorting the market as it’s unknown who is left to sell into this rally.
China purchased a lot of corn recently, so the market now expects upcoming USDA reports to show increased export values and lowered carryout. Corn may need the price to rally to help ration what is left until harvest.
South American weather has turned from dry to wet. Parts of Brazil are experiencing bean harvest delays from the wet weather that could push back their second corn crop planting. This delay could push corn pollination on the second crop into late May when weather is drier and reduce yields.… Continue readingRead More »