Weather outlook continues to weigh on grain markets
A market analyst says the potential for improved weather conditions in the short term has been weighing on the grain markets.
Tim Marsh tells Brownfield the dryness that developed across much of the Corn Belt in May and June is shrinking, but it’s still dry in a few areas as August begins.
“There are portions of northern Iowa, Minnesota, the Dakotas and Missouri that remain on the dry side.”
An improvement in the weather forecast could mean a more stable U.S. corn crop and Marsh says that’s made corn prices move lower. Marsh also says better weather would affect the soybeans in a key month for development. However…
“The 52 bushel per acre yield from USDA looks to be too high, but we won’t know for sure for awhile and it could keep the soybean market propped up compared to the corn market in the next few weeks.”
Marsh works with Summit Commodities in Des Moines, Iowa.