We have seen some commentaries and news stories lately about how cheap commodities are, compared with stocks. And with stocks running wild to the upside, that has naturally raised some questions about whether commodities might catch the same wave and fly higher.
Couple this with China’s massive purchases of soybeans and other commodities the past several months, and people are wondering if another macro-economic upswing might be in the cards – just like 2007 through 2008, which was followed by a second surge in 2011–2012 which brought even more markets to new all-time highs.
“Widespread rainfall is expected (in Brazil) during the six- to 10-day period, which will further boost soil moisture in northern areas and also lead to improvements across central areas, favouring corn and soybean growth.”
Brazilian producers have 73% of the estimated soybean area planted for the 2017/2018 crop. Now, the planting of Brazilian soybeans is no longer behind schedule. The rains that have fallen in all of the main producing regions have allowed the advance of the sowing.