Brazil inflation

Corn started the week unchanged while soybeans added 16 cents. Overnight both markets are slightly lower. Inspections were strong for soybeans but were much weaker for corn. Harvest is limping to the finish line as widespread rains have slowed things down significantly. Corn is 66% harvested while soybeans are 70% done. Brazil is moving at record pace for soybean planting and they have a good moisture situation currently. On top of that inflation in Brazil is out pacing inflation in the US causing their Real to weaken against the dollar. They have tried to curb the issue but have not had any success. This could put pressure on the back of the soybean curve for this season as they will have good looking prices. The one caveat is farmers could hold soybeans as a hedge against inflation if they don’t need to sell right away. NFC Grain Comments 10.26.21