Improving weather in South America and frost in the US will affect agricultural markets next week

The intensity of rainfall in Argentina is gradually increasing, and heavy rains are forecast for next week, which will improve the condition of crops, some of which have already been irreversibly damaged. The heaviest rainfall will fall in the northeast of the country, while light rains will fall in the south of Buenos Aires and La Pampa. Experts believe that the rainfall will improve the condition of crops, and the soybean and corn harvest forecasts will not decrease further.

In central Brazil, the rainy season continues, but their intensity is decreasing, which allows for increased soybean harvesting (which has been threshed on 20% of the area) and sowing of the second crop of corn. Slightly drier weather next week will allow for the completion of corn sowing in optimal terms (by the end of February), and significant moisture reserves in the soil will improve the prospects of the harvest.

The front will bring frosts to the Central and Southern Plains and the Midwest of the USA next week to -20…-25 ^° C, which can damage wheat crops in southern regions with a small layer of snow cover. This may lead to a new wave of speculative growth in quotes. Over the weekend, precipitation in the form of snow will fall in the region, but it will be insignificant, especially in Texas, and by the end of next week, air temperatures will rise.

In Ukraine, precipitation will fall in the form of snow in the coming days, and next week temperatures will drop to -5…-12 ^° C, which will reduce moisture reserves and create risks for crops in fields without snow cover.

In the southwest of the Russian Federation, in the regions where winter wheat is grown, there will be more snow than in Ukraine, and frosts will not exceed -4…-8 °C, so there will be no threat to crops.