16/4/26 Prices

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Dry weather across the western parts of the US hard red winter wheat belt helped turn around the futures session in the USA. Futures initially trended lower but with the 7 day rainfall models remaining poor for a deteriorating western wheat belt, the punters got back on the buy side.
The 14 day anomaly map from Worldagweather.com, shows much of western Kansas and the Panhandle has seen 20%-40% of average rain for this time of year. This in sharp contrast to the central corn belt and the US soft red winter wheat regions, which have picked up 120% to 200% of average rainfall over the last 14 days.
The 7 days forecast for the US continues to show dry weather persisting across much of Kansas and the Panhandle, and wet weather persisting across the central corn belt and SRWW regions.
Parts of SE Saskatchewan are also abnormally dry, but this is yet to become a major concern, it’s still early in their sowing window.

French analyst have joined the many international analyst predicting a decline in sown area for summer crops this season. High input prices, including fuel and fertilizer are the main reasons. Reuters reports grower group AGPM are suggesting corn area could be back by 10% to 15%. With some regions falling by as much as 20%. It’s not all to do with input costs though, winter wheat area had been increased, robbing country away from summer crop. Those guys are probably feeling pretty smug about that decision right now. There is some speculation that corn area may also be replaced by sunflower in some regions.

Weather may yet play a role in the EU planting progress. France, Germany and Poland are all seeing less than average spring rainfall. France less than 10mm over the last 14 days, much of the north missing rain completely. Germany and Poland are not much better. The 7 day forecast for France remains dry.

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