Favorable harvest weather in the US and rainfall in Brazil and Argentina will be the main weather factors influencing quotes in the coming months

Favorable weather conditions in the US and Brazil (the world's largest producers of corn and soybeans) are relieving some of the speculative pressure on soybean and corn quotes, which in Chicago have already decreased by 4% and 14.7%, respectively, during the month.

Warm, dry weather over the past two weeks in the Midwest and Plains is helping to ensure a healthy soybean and corn harvest, as well as winter wheat planting. A front could bring brief showers later this week, which could be beneficial for wheat planting.

Despite the possibility of several waves of precipitation, the forecast predicts only short-term interruptions in harvesting, but overall weather conditions will remain favorable for field work until the end of the month.

Dry weather persisted in the Canadian prairies last week, which helped complete the harvest, especially against the backdrop of the first frosts and snow forecast this week. But further forecasts promise dry and frosty weather, favorable for corn harvesting.

Recent rains in central Brazil have been sufficient to spur the acceleration of soybean and corn planting. Additional rainfall is expected this week, ensuring a relatively satisfactory crop condition, although central Brazil has received below-normal rainfall so far, while some areas in the south remain too wet. As of October 15, Mato Grosso state has sown about 60% of the area, compared to just over 30% nationwide.

Argentina continues to experience cool weather, which is delaying planting and corn development, but rainfall has brought planting rates in line with last year. More rainfall and warmer temperatures are expected next week, but cold air will be a frequent occurrence over the next few weeks, creating adverse conditions in some areas.

Cyclones passed through Europe last week, bringing rainfall that improved moisture reserves, especially in western countries. Rainfall is expected to continue this week, helping to replenish moisture after a drought.

Ukraine experienced heavy rainfall last week, which halted the harvesting of late crops and negatively affected the unharvested soybean and sunflower crops, worsening the quality of the grain. This week, rainfall will decrease, allowing the resumption of harvesting and sowing of winter crops.

Rains are expected in the west of the Russian Federation this week, which will be favorable for the development of winter crops and the formation of good potential for the future harvest.

Southern and eastern Australia received additional rain last week, which will continue into this week and will have a positive impact on wheat and canola crops. Satellite images indicate that the overall condition of crops in both the west and east of the country is satisfactory.

In China, weather conditions remain generally favorable for harvesting corn and soybeans, as well as for rooting winter wheat and rapeseed, which will also have a positive impact on markets and reduce speculative pressure on quotes.