Heavy rains in Brazil, precipitation in Argentina and significant warming in the central US will affect markets in the coming week

Heavy rains are falling across Brazil, continuing to improve the condition of soybean and corn crops, which is guaranteed to produce a new record soybean harvest.

Forecasts for the next 7-10 days show additional rainfall across Brazil, including in the southeastern regions, where rainfall has been less intense.

Fronts moving in from Brazil are covering northern Argentina, creating favorable conditions for corn pollination and soybean development. However, southern Argentina has seen less rainfall, so it is now crucial to see whether the rains forecast for this week will be sufficient to mitigate the effects of the dry conditions of recent weeks.

Heavy snowfall covered the Midwest and southern Plains of the United States over the past week, but significant warming will come there early this week with temperatures of 10-14 degrees. A new cyclone is expected at the end of the week, which will bring cold air and additional light precipitation, but their amount will be very small, which, against the background of decreasing temperatures, could negatively affect winter wheat crops.

Winter came to Ukraine with snow and light frost, which stopped the corn harvest but partially covered the winter crop fields with snow.

Additional snowfall and a further drop in temperature are forecast this week, but so far there are no risks to winter crop plantings.

Several large cyclones will pass through Ukraine and the southwestern part of the Russian Federation in the winter wheat growing area, which will increase snow cover and protect crops from frost damage.