News
Weather, trade, and ethanol key market drivers in 2021
Most market analysts point to weather and trade when discussing the biggest factors for corn and soybean prices in 2021.
Glenn Wachtler with Compeer Financial agrees, but says ethanol should also be included.
“We’ve seen production increase already, probably even more than what the driving patterns have been. Countries are adopting renewable fuels, and ethanol can hopefully keep benefiting.”
He tells Brownfield ethanol plants are going up all around the globe.
“The demand is there worldwide, so really a lot of good factors out there as long as we don’t get hit by some unforeseen circumstance I guess.”
On weather, Wachtler says drought concerns this year will carry over into 2021. And he’s optimistic about Chinese demand for U.S. corn because of China’s depleted reserves.
Be the first to comment