Tidbits, Corn Outlook, Fed's Losses, Wind Farms, Cattle on Feed 3/22/25

Highlights

Eduardo Vanin of AgrInvest Commodities in Brazil about the U.S. corn outlook written Wednesday afternoon:

"The short-term fundamentals of American corn are still positive. American corn is the most competitive in most destinations. The market is no longer looking at this, but at the increase in supply for the 2025-26 season. This week, corn offered by the PNW gained two more tenders in South Korea. Sales should continue to be good, but some factors are starting to appear on the horizon, which could push futures to last year's levels after the American harvest - December hit $3.8. Negative points: 

1) Corn-soybean ratio. The planting intention report on the 31st could bring a large increase in the corn area and a reduction in soybeans. 

2) Reciprocal tariffs starting in April and how other countries will react. Mexico, Canada and Europe are the most important for American exports of corn, ethanol and meat. 

3) The drop in inflation in the US is another bearish factor. 

4) Funds are liquidating long positions.

The USTR's (U.S. Trade Representative) decision on additional fees on made-in-China vessels is still under discussion." 

Thursday evening, Vanin wrote:

"Rumors are Brazil has booked U.S. corn for import. The window is open for U.S. corn. Corn from Argentina is US$252.08 per mt CFR (cost of product & cost of freight) whereas U.S. corn is US$241.21 per mt CFR. Besides that, Brazil’s government reduced taxes related to corn imports."

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