3 Big Things Today, January 23
1. Soybeans Higher Overnight as Dry Weather in Argentina Continues
Soybeans were slightly higher overnight while grains were down.
Beans rose overnight on forecasts for continued dry weather in Argentina. Despite strong global inventories, limited rainfall in Argentina will allow moisture deficits to rebuild in early February, according to Commodity Weather Group.
The Buenos Aires Grain Exchange said on Monday that hot weather in Argentina over the weekend likely will continue in coming days and that farmers are facing losses in both beans and corn.
Soybean futures for March delivery added 2¼¢ to $9.86½ a bushel overnight on the Chicago Board of Trade. Soybean meal futures gained 50¢ to $339.10 a short ton, while soy oil added 0.21¢ to 32.37¢ a pound.
Corn futures fell ¾¢ to $3.51¼ a bushel overnight.
Wheat for March delivery fell 1¾¢ to $4.24 a bushel overnight in Chicago. Kansas City futures dropped a penny to $4.27½ a bushel.
2. Export Inspection Higher For Corn, Soybeans Last Week, Lower For Wheat
Export inspections were higher for corn and soybeans last week while lower for wheat, the USDA said in a report.
Inspections of corn for delivery to overseas buyers rose to 668,946 metric tons in the seven days that ended on January 18, according to the USDA. That’s up from 588,781 a week earlier.
During the same week a year earlier, corn inspections totaled 986,268 tons.
Soybean assessments totaled 1.42 million metric tons, up from 1.24 million a week earlier and 1.30 million during the same week in 2017, the government said.
Wheat inspections fell to 337,980 tons last week vs. 369,749 tons seven days earlier. The total, however, was up from 288,973 tons at the same time last year, USDA data show.
Corn inspections are well behind the year-ago pace. Inspectors have examined 12.7 million metric tons of the grain for delivery to overseas buyers since the start of the marketing year on September 1. During the same time frame last year, assessments totaled 19.8 million tons.
It’s a similar story for beans, of which 32.3 million tons have been inspected so far this year, down from 37.2 million a year earlier.
Wheat inspections since the start of the marketing year on June 1 totaled 15.5 million tons, trailing the year-ago total of 16.5 million tons, according to the USDA.
3. Cold Weather Prevails But Harsh Winter Storm Moves Out of Central Midwest
It’s going to be cold but mostly dry in much of the Upper Midwest today where a large storm dropped several inches of snow yesterday.
More than a foot of snow fell in parts of Nebraska and at least 10 inches came down in Minnesota, according to the National Weather Service. The storm stranded motorists and killed at least two people in Nebraska when their car slid off the road.
Temperatures today will be in the 20s and 30s in much of the region where the storm hit (Nebraska, Iowa, and Minnesota).
Snow will fall in parts of Illinois, though the amounts aren’t going to be even close to what other areas saw yesterday, according to the agency.
“Wintry precipitation will expand into the eastern portions of the Great Lakes and New England Tuesday into Tuesday night,” the NWS said in a report early Tuesday morning.