OMAHA (DTN) -- Trends continue to point to bumper harvests in Brazil and Argentina row crop areas and this is the main weather feature ahead of the E-CBOT Sunday evening session.
The likelihood of bumper crops in Brazil and Argentina will get the major E-CBOT trade focus. (DTN file photo by Richard Oswald)
Argentina received timely rainfall for corn and soybeans during the past week, with additional showers and mild temperatures ahead during the next seven days. In Brazil, showers and cooler temperatures are in store for southern areas following hot and dry conditions last week.
As a result, the market weather factor ahead of the Sunday evening session is neutral to bearish for crops. The promising South America conditions offset prospects of crop loss from unharvested corn in the U.S. and concern over increased feed demand due to winter storm conditions this week. There is also some concern over prospects for delayed planting in the U.S. Corn Belt this spring due to saturated soils.
Wheat in the Southern Plains continues with favorable conditions, and carries a neutral to bearish market weather factor as well ahead of the Sunday activity.
Weather is only one of many factors which influence the market in a given session.
Telvent DTN Ag Meteorologist Mike Palmerino noted Sunday that Argentina's central crop belt -- Cordoba, Santa Fe and northern Buenos Aires provinces -- had rain of up to one inch during the past weekend, along with below-normal temperatures. Palmerino's outlook for central Argentina this week calls for additional rain of a half-inch or greater early in the week. Additional showers are expected Wednesday
Southern Argentina crop areas also had rain of up to one inch during the weekend, with variable temperatures. The week ahead features scattered showers, with locally heavy amounts of up to an inch by Saturday. Southern Argentina crop areas also have variable temperatures in store.
"This turn to cool and wet weather during the past week eased to corn and soybeans after recent hot and dry weather," Palmerino said. "A favorable pattern for developing crops is expected to continue this week."
In Brazil, a season-long trend of favorable crop weather continues. Southern areas had some dry weather with hot temperatures during the past weekend, as temperatures reached to over 100 Fahrenheit. However, the week ahead brings showers and thunderstorms with up to three-quarters of an inch rainfall Monday, and additional showers in the time frame from Wednesday through Saturday. After hot temperatures this weekend, a more variable temperature pattern is expected during this week.
"The turn to cooler temperatures and scattered showers this week will ease crop stress," Palmerino said.
Northern Brazil crop areas, principally Mato Grosso, took in rain of up to a half-inch during the weekend. Temperatures ranged into the mid to upper 90s Fahrenheit.
Scattered showers are expected during the first half of the coming week. Precipitation totals in the forecast range up to one and one-half inch. The temperature outlook features near to above normal values through Wednesday, followed by near to below normal readings during Thursday through Saturday.
"Mato Grosso has generally favorable conditions for developing and harvesting soybeans with recent warm to hot and dry weather beneficial," Palmerino said.
Central U.S. conditions are again dominated by harsh, wintry trends.
"The Midwest will have a significant snow event during the first half of this week, which will disrupt transportation of livestock," Palmerino said. "Below normal temperatures will also increase feed requirements."
In the Southern Plains, snow and ice threaten livestock conditions and may increase feed demand as a result.
"Snow and ice in feedlots will increase stress on the animals in the next 48 hours," Palmerino said. "Wheat has generally favorable conditions with no cold-weather threat."
Bryce Anderson can be reached at bryce.anderson@telventdtn.com
(SK)
© Copyright 2010 DTN/The Progressive Farmer, A Telvent Brand. All rights reserved.
