As sowing of soybeans and corn in the US is delayed, the prices of these two futures on the CBoT rise this morning for the second consecutive day. These two markets are in the weather market.
The USDA said on Monday that 15% of soybeans are sown in the fields in the US, 39% of corn in corn, instead of 44% on a five-year average. The US states of Minnesota and North Dakota are now forecasting rain showers that will halt field work.
In Argentina, on the other hand, heavy rains are hindering harvesting of the two crops, corn and soybeans, which suffered an extremely long dry period during the growing season.
However, the increase in soybean futures is limited by the marked slowdown in US soybeans. In April, China imported only 6.9 million tonnes of oilseeds, far less than expected and 13.7% less than in April 2017. Customs currently require more than a month to release US bean shipments. A chicane, which is due to the trade dispute between the two superpowers.
Traders and investors are currently adjusting their forward market positions ahead of the USDA WASDE report, which will be released tomorrow at 18:00 CET. It also includes the first official crop estimate for this year's harvest.
Text: HANSA Derivatives Trading GmbH / / Graphic: Saxo-Trader 
