Heavy rainfall in South America improves prospects for soybeans and corn

In December and January, traders’ attention will be focused on the weather in South America, where the weather conditions are still favorable for sowing and germination, which increases pressure on world prices. Heavy rains in almost all of Brazil allowed farmers to complete the sowing of soybeans in the optimal time. In the coming days, additional rains will continue to improve the condition of crops, but in the southern regions of heavy rains can lead to flooding. In Argentina, in the areas of cultivation of soybeans and corn, the front brought heavy rains, which will continue next week. Soybeans in the country planted 35% of the area, and favorable weather for sowing can lead to an increase in acreage, as in Brazil. It is expected that in the North precipitation will be stronger, while in the Central and southern regions will be a moisture deficit. The strengthening of La Niña could lead to heat and drought at the end of the season, so the more precipitation that falls now, the ...