U.S. Drought Still a Concern for markets
Now that the planting season has mostly wrapped up in the United States, we are starting to see a shift in market focus.
Until now, all attention regarding the weather has been on getting the crops in, which makes a lack of rainfall less of an issue. Now that crops are in, growing rains are needed, especially in regions where rainfall has been limited this spring.
The most concern is in the southern U.S. and Plains, but worries about drought in the western Corn Belt are building as well.
The concern with these drought conditions is how long they may last. The Climate Prediction Center (CPC) claims there is a 59% chance the La Nina weather pattern will hold though the U.S. growing season and into October. ...