What will the USDA print for South America?
Corn and soybean futures posted big gains on Monday up 15 and 28 cents respectively. South America is having more issues with weather as Brazil is too wet in the C/N areas where they are trying to harvest soybeans and plant safrina corn while Southern Brazil & Argentina is hot and dry with crops in important stages of development. This all plays into what the USDA will adjust for South American production. Currently they are at 139 & 115 for Brazil corn and soybeans and 46.5 & 54 for Argentina. All these numbers need to come down and most expect the USDA to slow play it with modest trims while private groups have already made large cuts. It is hard to think the USDA will give the market the bullish news it needs to push a lot higher but the market reaction could be bullish on a neutral-ish report. We do not expect a game changing report tomorrow. Today watch 6.25 and 6.42 for support and resistance in March corn and 15.64 & 15.92 for soybeans. NFC Grain Comments 2.8.22 (1)