South America’s crop is widely variable. Martinson Ag Risk Management President Randy Martinson says Brazil needs dry weather for harvest while Argentina needs rain. “It’s the tale of two cities where the central and southern parts of Brazil want it to stop raining to get a break. Producers there received one inch of rain each day for the last 20 days. You can imagine how soggy it is and it’s slowing down harvest. I think this brought China in as a buyer of U.S. ag products.” Martinson says traders will be watching the February supply and demand report closely. “USDA may have an increase in corn exports, but definitely in soybean crush and exports. We’ll see a tightening of stocks in soybeans.”
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