Grain Markets Commentary
Russian Fertilizer makes its way to Brazil
Grain and oilseeds closed well higher across the board adding 20 to 30 cents from corn to KC wheat. We were coming off a long weekend with no end close in the Ukraine situation and cool, wet weather here in the US keeping planters sitting then throw in dry weather in Brazil putting stress on up to 1/3 of their 2nd crop corn. In other news, Reuters reported 24 vessels holding up to 678K tons of Russian fertilizer made their way to Brazil. Even with sanctions on Russia payments were processed thru non-sanctioned banks. As we move forward with the Russia/Ukraine situation drags on many countries will look to do what is in their own best interests when it comes to feeding their citizens and trying to keep food prices lower so don’t be surprised to hear more this happening. Yesterday’s crop progress showed 4% corn planted and 1% of soybeans which was no surprise with the recent weather. Winter wheat condition dropped 2% to 30% the 3rd lowest level ever seasonally. Overnight we have a slightly lower market and will see if we get some selling after yesterday’s big rally.