How Weather, Feed Prices & Ukraine War are Affecting Agribusiness Markets -- a Rabobank Report

By Ann Reus, Feed Strategy. Reprinted with permission -- see original story here. (November 15, 2022)

In its periodical update that provides a market outlook for dairy, cattle, wheat, and other key commodities, Rabobank also gives an overview of developments to watch in the upcoming months in North America. This North American Agribusiness Review highlights 9 key insights, including:

Corn: U.S. corn crop conditions are the worst since the drought of 2012 and worse than the wet spring year of 2019, but the corn market is expected to come down to yield.

Soybeans: Export demand is robust, but crop conditions are not improving, which may affect yield. Prices are expected to remain volatile until more information is available on yield and drought conditions.

Wheat: The war in Ukraine and weather are the biggest influences on the global wheat market, which remains extremely volatile. Global wheat crops have been the most affected by La Niña, yet the market expects wheat supplies will be plentiful in 2022-23.

Feed: The main oils used in animal feed have seen a price increase and prices remain volatile. There are historic highs for hay, and alfalfa hay supply is limited. But since hitting their second-highest level since 2011, prices for dried distillers grains with solubles (DDGS) have come down.

Several key insights are provided for pork and poultry as well. See the details in the full report.