The shortage of rain in major producing countries remains the main factor supporting the markets
Last week in the United States and Russia in crops of winter wheat were slight precipitation in the amount of 30% of normal, which reduced the moisture deficit, but did not remove anxiety about the fate of plants, especially in anticipation of the predicted frost.
In the Midwest USA weather contributes to the completion of harvest of soybeans and corn, and periodic rains are improving moisture reserves in the fields with winter crops.
On the Southern Plains in the next 7-10 days will be only minor precipitation. In good or excellent condition are 31% of crops, while a year ago the figure was 51%.
In the Delta region of precipitation will also be minimal, whereas in the South-East in the coming days, the tropical storm will bring powerful showers.
Precipitation last week in Brazil and Argentina, has accelerated sowing of soybeans and corn. Next week in Brazil will go powerful rains which will improve the condition of crops and will contribute to the expansion of sowing areas on the background of high prices for the specified culture.
In Argentina next week periodic rainfall will be insufficient for the normal development of crops. This leads to lower forecasts of the wheat harvest, which is now collected on 15% of the area, as well as soybeans and corn, the seed of which is delayed. Soybeans planted on 20% of the area and the maize – only 30%.
According to the forecast of experts, resulting in the phenomenon of La Nina rainfall in South America in the period of maturation of soybeans and corn will be below normal. This leads to a rapid increase in the prices of these crops on the global market, though the global balances for the current season is better than last year.
In Russia due to the dry weather of winter crops sown 19.1 million hectares, or 99.6% of the space, which is approaching last year's record level of 19.6 million ha. last week on the winter wheat crop was warm weather with below normal rainfall in the amount of 10-30 mm, which inhibited the development of crops in certain regions. A frost at the end of the week stopped the growing season. In the next 7-10 days will be favorable for crops precipitation in the form of snow and rain.
In Ukraine, sowing is accelerated and as of 9 November, winter crops sown 7.7 million hectares or 94% of the plan, including wheat, 5.8 mln ha, or 95%, barley – by 0.9 million hectares or 95%. We still have time to sow winter barley, as the weather is mostly dry, temperatures dropped to -1...-2oC. Precipitation next week will reduce the water deficiency on crops.
Minor rainfall in Australia will not prevent the harvest of wheat, the forecasts which remain at a high level.
