Loading…
The National Integrated Drought Information System reports that spring rains have removed drought concerns across most of the Upper Midwest, leaving only about 2% of the region in drought, confined to western Iowa. Seasonal outlooks for May through July 2022 point to hotter, drier conditions in the western Midwest, which could bring drought back to parts of Iowa, southern Minnesota and northern Missouri.
Easing drought lowers near-term yield risk for corn and soybeans, which is mildly bearish, but the forecast for a hotter, drier summer keeps some upside risk in the new crop.
drought.govApr 28, 2022After 445 past neutral weather events, Corn moved a median +0.1% over 5 sessions (52% higher; middle half -1.4% to +1.6%), and +0.7% over 20.
After 324 past neutral weather events, Soybeans moved a median +0.0% over 5 sessions (52% higher; middle half -1.4% to +1.7%), and +0.7% over 20.
Moves of each commodity's benchmark from the last close before the event. Historical reads pool past events of the same kind; they describe what happened, not what will. Not investment advice.
