Image: Adobe Stock
The low volume of rain in the Midwest of the United States since the beginning of this month worries agents in the soybean sector, considering that this scenario could harm the development of crops. Researchers claim that sowing has practically been completed in that country, and the percentage of crops in good and excellent conditions has been decreasing week after week.
According to the Cepea newsletter, forecasts indicate rain in the coming days, which could alleviate possible impacts on production. Despite this scenario, estimates released this month by the USDA indicate a significant increase in the global supply of grain in the 2023/24 harvest and also in the Brazilian harvest (2022/23).
{module Form RD}
The North American Department points out that global supply could exceed demand, which would increase the final stock/total demand ratio from 27.8% to 31.9%, the highest in five harvests. As for domestic prices, in addition to the possibility of high supply, the devaluation of the dollar against the Real put pressure on the prices of soybeans and derivatives in Brazil last week.
Source: Aline Merladete | agrolink
