- Chicago markets have been lower in wheat, corn and soybeans today, sliding in moderate volume trade. The USDA’s May report is scheduled for release on Wednesday, but today’s key price driver has been improved weather patterns and planting progress across the N Plains and NW Midwest. Areas previously flooded, E and S Midwest, are still some 5-8 days from fieldwork to plant or replant spring crops, but it is the improved prospects in the west that is pressuring markets today.
- Brazil’s CONAB data will not be released until after the USDA report, and their soybean output is anticipated to rise to around 112 million mt with corn left unchanged. Their corn crop is just about starting its pollination phase and with the dry season a week or so early, it is unlikely that CONAB will increase their estimates ahead of this key period.
- There is a lack of fresh news to keep the bulls active today. The Plains HRW crop needs little in the way of precipitation to make a crop, indeed dry conditions would be more welcome.