Argentine Soy & Corn Crops Could Be Overestimated
Jan 10, 2011
Despite the USDA's current Argentine soybean crop estimates of around 52 million metric tons, I continue to hear reports from those on the ground and close to the source that the Argentine crop might not make much over 40 million tons. If that number proves to be anywhere close to correct, it would be a huge shock to the trade and certainly send prices higher. In addition I continue to hear lower numbers regarding Argentine's corn crop. I don't know if we will see confirmation from the USDA anytime soon, but I am going to stick with my sources and anticipate the crop will come in below 20 million metric tons. I think Argentina could be worse than many people are reporting. I am going to continue to stay long, and willing to bet we see the numbers start to drop during the next several weeks.