Wet weather in Brazil continues to delay both the soybean harvest and the late plant corn crop. The trade suggests that at least 20% of the late corn will be sown later than planned. This could see a yield reduction if the season does not go with the crop.
Chicago corn futures found little interest in this, and continued to push lower, instead concentrating on a reasonable weather forecast for the eastern US corn belt for the week ahead.
Chicago soybean futures were sharply lower. Smaller than expected crush rates and “better” harvest weather in Brazil the key ingredients. Looking at World Ag Weather and the 7-day rainfall map and 7 forecast for Brazil one does start to wonder what a bullish weather map needs to look like. Rain continues to fall and is predicted to continue to fall across much of the major soybean districts of Brazil over the next 7 days. This is in stark contrast to Argentina where it continues to fail to rain, and the forecast isn’t looking any better. The 30-day anomaly map for Argentina shows the vast majority of the summer crops have seen 40% – 50% of average rainfall at this, the most crucial stage of development.

The Paris rapeseed contract was a follower of the Chicago bean pit. Shedding E14.50 per tonne in the May contract. With the Aussie dollar flat in overnight trade the AUD/Euro combination and the fall in Paris futures converts to a plausible downside of over AUD$24 here unless we see some considerable strength in basis. There’s little assistance on offer from the Winnipeg canola contract, the May slot there falling C$5.50 per tonne.

Turkey picked up 790kt of milling wheat and Thailand picked up another 30kt of Aussie feed wheat.