It is hard to believe that we are already into the third month of 2023. Soon planters will be moving in the deep south, and in just a few weeks, they will roll here in Iowa. March is a big month for the markets as we look at South American soybean production and get to see the breakdown of acres in the Planting Intentions report. It shapes up to be one of the biggest months of the trading year.
As far as the markets are concerned, it hasn?t been as volatile as we have been seeing in the past months and years. So, why is that? Greg McBride of Allendale talks with us about a few of those topics today. The first is China. Their economic projections for 2023 are out. While they are better than during the pandemic, they aren?t as good as we had been accustomed to seeing.
However, there are rumors that they want to buy U.S. Corn. There were flash sales announced this morning to an unknown destination, which is usually China, and another sale was announced to Japan. These are the first flash sales we have seen in a couple of weeks.
What is also hard to believe, but a teetering point for the markets, especially in wheat, is that it looks like an extension to the Black Sea grain shipping corridor is in the works.
The March WASDE is coming out on Wednesday. Greg gives us a preview of what he thinks will be in that report.
McBride urges producers to look at their marketing plans and see if there are places where they can make some tweaks, or strengthen their position and take advantage of the marketplace.
