The following commentary does not necessarily reflect the views of AgWeb or Farm Journal Media. The opinions expressed below are the author's own.
The FBN Team provides a macro-focused daily view of the world’s grain markets. Kevin McNew received a bachelor’s degree from Oklahoma State University and his master’s and Ph.D. degrees in Economics from North Carolina State University. He spent 10 years as a Professor of Economics with the University of Maryland and Montana State University focusing on commodity markets and is widely regarded for his ability to boil-down complex economic situations into easy-to-understand concepts for applied life.
Wheat in Play Today
What Does This Mean for U.S. Farmers? Assisted by strong supplies of feed grains, corn and barley, and a strong US dollar the Ukrainian corn export program will be one of the strongest on record. The combination of large feed grain and corn supplies and a strong USD dollar should continue to displace US corn exports in to northern Africa and middle east destinations.
Paraguay Weather Adversely Impacting Soy and Corn Yields
What Does This Mean for U.S. Farmers?
When compared to Argentina and Brazil, Paraguay is a smaller regional producer of corn and soy. The financial markets have a tendency to overlook the Paraguayan crops but a further decline of both the corn and soy crops would continue to compress aggregate supplies in Latin America. With the entire agricultural community watching Brazil, corn and soy crops in Paraguay take a back seat. This is more of an event to monitor but shouldn't move the regional supply needle.
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