3 Big Things Today, October 16, 2019
1. Soybeans, Grains Slightly Lower in Overnight Trading
Soybeans and grains were lower in overnight trading amid mostly favorable harvest weather in much of the Midwest.
Crop collection has been rolling on in much of the Corn Belt the past few days after wet weather moved on. Dry weather is expected in much of the region for the next couple of days, according to weather forecasters.
Still, only 26% of soybeans had been harvested as of Sunday, which is down from the prior five-year average of 49%, according to the USDA.
About 22% of corn had been collected by the start of the week, well behind the average of 36% for this time of year, the USDA said in its Weekly Crop Progress Report that was delayed due to Columbus Day.
Some 94% of spring wheat was in the bin as of Sunday, only up from 91% the previous week as winter storms hit much of the Northern Plains last week and kept farmers out of fields. Normally the entire crop would be out of the ground at this point.
Farmers, investors, and analysts also are keeping an eye on the ongoing trade talks between the U.S. and China after Friday’s announcement of a “partial” trade deal was met with skepticism.
Soybean futures for November delivery fell 1¢ to $9.33 a bushel overnight on the Chicago Board of Trade. Soy meal gained 10¢ to $307.90 a short ton, while soybean oil fell 0.05¢ to 30.34¢ a pound.
Corn futures for December delivery fell 3¼¢ to $3.90 a bushel.
Wheat for September delivery dropped 2¢ to $5.05 a bushel, while Kansas City futures declined 1½¢ to $4.19¾ a bushel.
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2. Export Inspections of Corn, Wheat, Beans All Higher Week to Week, USDA Says
Export inspections of corn, beans, and wheat in the seven days that ended on October 10 all declined week to week, according to the USDA.
Corn assessments for overseas delivery were down slightly, falling to 470,612 metric tons from 473,409 tons the previous week, the agency said in a report. Soybean inspections were down to 954,881 metric tons from 1.05 million tons a week earlier.
The USDA said it examined 462,651 metric tons of wheat for offshore delivery in the week that ended on October 10.
Since the start of the marketing year on September 1, corn inspections are at 2.5 million metric tons, according to the report. That’s down from 6.92 million tons last year when corn was flying out of bins onto transport ship.
Soybean assessments since the beginning of September, however, are up to 5.16 million metric tons from 4.8 million at this time last year.
China has been an active buyer, and exporters shipped 160,344 metric tons of the oilseeds to the Asian nation last week, the USDA said. In the week that ended on October 3, the U.S. shipped 139,700 tons to the China, according to the government.
Since the start of the grain’s marketing year on June 1, wheat inspections now stand at 9.46 million metric tons, up from 7.83 million at this time in 2018, the agency said.
3. Fire Weather Watch in Effect For Eastern Colorado, Western Kansas on Low Humidity, Wind
A fire weather watch is in effect for parts of eastern Colorado and western Kansas this morning amid extremely low humidity and strong winds, according to the National Weather Service.
Winds are forecast from 10 to 20 mph with gusts up to 30 mph, the NWS said in a report this morning. Relative humidity is expected to be as low as 14%.
“Any fires that start will have extreme fire behavior and spread rapidly,” the agency said. “Outdoor burning is not advised.”
Farther north and east, flooding is still a problem along the Mississippi River between Iowa and Illinois.
More precipitation is on the way, as thunderstorms are expected late Friday through Saturday and again Sunday and Monday, the NWS said.
Patchy frost is expected in parts of southern Ohio starting Thursday night, the agency said.