Corn prices were supported by the forecast decline in US production

a report on the crops showed a significant delay in the rate of planting soybeans and corn in the United States. Experts are trying to assess whether the decrease of the sowing area of corn in favor of soybeans, and the corn crop in the U.S. and in the world.

On may 19 in the U.S. corn planted 49% of the planned areas and soybeans – 19% of areas, compared with the average 5-year figures 825 and 47%, respectively. Farmers or sow less profitable soybean, or will to take risks and to sow corn after June 1, when the optimal time. However, the cost of crop insurance that were not sown at the optimum time, increasing by 1% per day, and the yield may decrease by 15-20%. Precipitation in the coming days will be to hinder sowing.

the increase in the area of sowing of soybean can influence the government promised aid to farmers affected by the trade war with China. Experts believe that it may take up to 25% of the price of soybeans.

March USDA predicted, what acreage of corn in the U.S. will increase from 89.1 million acres in 2018 92.8 million acres in 2019, and the area under soybean will be reduced from 89,2 to 84.6 million acres. It is expected that maize will sow 88-89 million acres, and soybeans – 86-87 million acres. The results of the sowing will significantly alter the balance of the soy and corn in the new season, as well as trading strategies traders, as prices for corn of the new harvest is continuing.

In Chicago July corn futures are rising for the seventh consecutive session and has already reached 155,5 $/t

Weather helps to ensure a good corn harvest in Argentina and Brazil, which from may to November will begin active export.

In Ukraine after the growth of bid prices of corn to 173-174 $/t FOB demand declined even more. Buyers can buy cheaper maize from Argentina at 158-160 $/t FOB Brazil or at 165-167 $/t FOB.

Experts USDA in the may report increased the estimate of corn production in Brazil in 2018/19 MG for 4 million tons to a record 100 million tons Due to increased production in the country over the last 10 years has become the second world exporter of corn after the U.S., increasing the share in world exports from 1% to 25%. In 2019 it will be able to export 32 million tons of corn, which is 32% higher than the level of the current season.