Scarce rainfall for Argentina's main-producing regions

According to data from Weathertrends360, a drier pattern is anticipated through at least the second half of January.

Weather concerns in South America continue to put upward price pressure on soybean and grain futures, and as we look ahead there is little evidence to support alleviation of these crop concerns. For the week-ending January 14th, 2021, precipitation will continue to run below normal in parts of southern Brazil and for much of the Central-West region. Spotty precipitation will fall in northern Argentina but a drier regime returns later in the period.

According to data from Weathertrends360, for the week-ending January 14th, this will be the 2nd driest such period in 30 years for the state of Rio Grande do Sul, Brazil. Meanwhile, precipitation will be heavier in Southeastern Brazil, including in Minas Gerais where this is forecast to be the 5th wettest such period in 30 years. Unfortunately, wetter conditions will not stretch back into the Central West region where soil moisture remains low for much of Mato Grosso.

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In Argentina, there will be the chance of showers on or about January 11th, but high pressure will squash hopes of a prolonged wetter pattern by the middle of the work week. Weathertrends360’s longer term forecast doesn’t bode well for precipitation in the main-producing regions of Argentina as a drier pattern is anticipated through at least the second half of January 2021.

READ MORE: Soybean market eyes drier weather outlook in Argentina

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