Corn market trading on South American weather, awaits USDA reports
Mar-22 corn futures ended last week up 3 percent at $6.06 per bushel, maintaining the recent trend above $6 per bushel. Prices have been on a nearly steady incline since bottoming out in early September.
S&D and fundamental factors
WASDE is this week, and the trade is anticipating global corn ending stocks to fall by a couple million tons to around 303.6 MMT. Likely due to surrounding unfavorable weather, the average analyst guess for Argentine and Brazilian corn production is 53.6 and 116.2 MMT, respectively.
Analysts are projecting Dec. 1 corn stocks near 11.6 billion bushels, up about 300 million bushels from 2020.
Weather, macro indicators, and news
Much of the market’s focus will be on weather over the coming week as conditions are expected to be hot and dry through most of Argentina. A few agencies have lowered soybean projections, but few have yet to do so for corn.
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