Market Impact Weather

OMAHA (DTN) -- A mostly dry forecast for Argentina and southern Brazil, and increasing dryness in the Southern Plains, are the key weather items for the commodity trade's attention Thursday.

ARGENTINA STAYS MAINLY DRY

The DTN ag weather forecast calls for mainly dry conditions across Argentina's crop areas through the next week. Episodes of extreme heat and a below-normal rainfall pattern increases the risk to crops grown in La Pampa and southern Buenos Aires. Santa Fe and northern Buenos Aires also look to trend toward above-normal temperatures and below-normal rainfall during the next seven to 10 days, which will increase crop risk as well. Cordoba had needed rainfall during the weekend, but with hot weather preceding the showers and a drier pattern the balance of this week, this moisture will be quickly used up.

GENEROUS CENTRAL BRAZIL RAIN

Central Brazil remains in line for periods of rainfall along with seasonal temperatures. This combination is favorable for crops.

DRIER IN FAR SOUTHERN BRAZIL

In southern Brazil, the forecast offers more caution regarding trends over the next week. The far southern state of Rio Grande do Sul may have drier and hotter conditions than previously indicated. Meanwhile, Parana and Mato Grosso do Sul continue with a favorable pattern for crops.

CONTINUED SOUTHERN PLAINS DRYNESS

In the Southern Plains, dry conditions remain in the forecast through the next week to 10 days. The dry trend, along with stress from the strong cold wave of the New Year holiday weekend, continues to raise concern over possible wheat production loss in 2018. Temperatures are expected to moderate over the next week to 10 days, but precipitation remains sparse.

MILDER MIDWEST FORECAST

In the Midwest, temperature forecasts continue to indicate an easing of the cold wave for early 2018. Some damage to soft red winter wheat may have occurred due to the extreme cold.

COLD LINGERS IN NORTHERN PLAINS

In the Northern Plains, stressful cold remains in effect through the end of the week. Slight moderation is indicated over western portions of the region.

Bryce Anderson can be reached at bryce.anderson@dtn.com

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