Back Sea Again.... Weather Woes..
Monday, March 6, 2023 at 3:53:01 p.m. UTC
Top 3 – Things to Watch this week:
1. Ukraine / Blacksea shipping corridors still dominates the news. This is causing major price wings in the wheat market. Note: that Ukrainian farmers only planted 66% of normal wheat acres.
2. Weather markets have started. USA is expecting a cooler and wetter Midwest in march. This is a double edge sword as too much moisture and coolness will impact corn seeding.
3. El nino is expected to return this year. Expect hot and dry Australia, India and Indonesia. Indonesia produces a lot of palm oil. India and Australia are big wheat producers.
This week’s Action Item:
All this uncertainty is an opportunity to get caught up on old crop sales. Prices are pretty volatile so the use of targets is a good idea. Prices still high and it doesn’t seem like any part of the world is going to have a wreck in 2023. Of course, there will be problems, but nothing is on the horizon yet.