Ukrainian Corridor is on auto-renewal.
The Ukrainian export corridor is back on approval and now runs to March 19. This will allow the USDA to adjust Ukraine export estimates upwards, which of course, will affect US corn exports in an almost inverse amount. December 9 is the next chance for WASDE to work with carryouts. Grain futures rallied yesterday on a ”sell the rumor buy the fact” mentality as end-user buying was waiting for such an opportunity.
Argentine farmers have now planted 12% percent of their soybean crop versus 29% a year ago due to the dryness. Planting is now speeding ahead following early week rains, along with potential rains this weekend. Regular rainfall will be needed for Argentine farmers to plant their entire soybean area. Some switching of soy seeding could occur to late-season corn if rains do not come more adequately in December. Farmers in Argentina can plant corn until mid-January without yield drag.
India forecasts that the farmers will expand their 2022/23 wheat and rapeseed areas by 10-15% due to high prices and profitability. Indian wheat farmers seed the winter wheat and rapeseed crops in October/November, with the initial wheat harvest starting in early March.
The South American forecast is favorable for soybeans and corn crops in the northern three-quarters of Brazil, with near to below-normal rainfall in RGDS and Santa Catarina and in the northern one-third of Argentina, with near-normal rainfall occurring in Buenos Aires and Córdoba. Showers were noted overnight in Buenos Aires and La Pampa, and there are daily chances of rainfall for all of Argentina through the weekend.
Yesterday live and feeder cattle had substantial gains again for the second day this week, with a firm start anticipated today. Negotiated fed cattle to trade higher on Thursday was sales in the southern plains quoted $1-2 higher with last week at $151-152. Sales in the north were quoted $1-2 higher at $154-155. These are new highs for the year and the highest price paid since 2015. This afternoon’s COF report is anticipating On feed numbers at 98.3%, placements at 96.4%, and marketings at 100.8%.