StoneX Group Chief Commodities Economist Arlan Suderman says the grain markets already factor in a partial delay in spring planting. There’s an expectation for the majority of U.S. crops to get planted. “When you look at where we’re at here at the beginning of May and start looking at the forecast, you have to start looking at the possibility that we’ll see increased prevent plant this year. Prices are certainly going to provide incentive to try and get things planted and maybe after the insurance date in some cases, but I don’t think the market has fully priced in the risks of not getting things planted in the Northern Plains.” Suderman says it’s not only the Red River Valley that has planting problems this year. Most of the Midwest is struggling, but it’s a different kind of struggle. “If you look at the core of the Midwest, April rainfall was below normal, but it was so cool that even the rains kept things from drying. It wouldn’t take as much of a warm up to dry things out and allow fieldwork. It’s not as saturated as it is in the Northern Plains.”
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