3 Big Things Today, June 19
1. Soybeans, Grains Decline Overnight on U.S.-China `Trade War’
Soybeans and grains plunged overnight after President Trump asked the U.S. Trade Representative to find another $200 billion worth of Chinese goods on which he could impose tariffs.
The move is the latest in an escalating trade dispute between the U.S. and China. Last week, Trump said in a statement that the U.S. would impose tariffs on tens of billions of dollars’ worth of Chinese goods. Beijing responded with its own duties on U.S. goods.
Trump on Monday said the U.S. would impose levies on more Chinese goods if Beijing “refuses to change its practices.” The Chinese Commerce Ministry said the U.S. “has initiated a trade war” and that it’s not afraid to fight back.
Soybean futures for July delivery plunged 22¾¢ to $8.85¾ a bushel overnight on the Chicago Board of Trade. Soy meal dropped $3.70 to $331.80 a short ton, and soy oil lost 0.67¢ to 28.90¢ a pound.
Corn futures declined 8¢ to $3.48 a bushel overnight.
Wheat for July delivery dropped 9¼¢ to $4.80¾ a bushel overnight, while Kansas City futures lost 10¢ to $4.89½ a bushel.
2. Inspections of Corn, Beans For Overseas Delivery Rise Week to Week
Inspections of corn and soybeans for overseas delivery rose week to week, while wheat assessments declined, according to the USDA.
The USDA said in a report that it inspected 1.67 million metric tons of corn for delivery to overseas buyers in the seven days that ended on June 14. That’s up from 1.41 million tons a week earlier and 1.22 million during the same time frame in 2017.
Soybean inspections last week totaled 818,396 metric tons, according to the government. That’s up from 675,621 a week earlier and easily topped the 292,124 tons inspected during the same week last year, the USDA said.
Wheat inspections were lower at 372,843 tons, down from 419,589 tons last week, the government said. The total was about half of what was inspected during the same seven-day time frame in 2017, according to the agency.
Inspections of all three crops are well below their year-ago paces.
Corn assessments since the start of the marketing year on September 1 totaled 42.6 million tons as of last week, down from 46.6 million tons during the same period a year earlier. Soybean inspections are up to 48.3 million tons, down from 51.9 million during the prior year, the USDA said.
Wheat inspections since the start of the grain’s marketing year on June 1 are at 792,432 tons, less than half the year-ago pace of 1.63 million tons, according to the government.
3. Strong Thunderstorms Expected in Eastern Nebraska, Western Iowa
Strong thunderstorms are expected in parts of eastern Nebraska and western Iowa again today, according to the National Weather Service.
“Locally heavy rain, damaging winds, and lightning will be the primary hazards,” the NWS said in a report early Tuesday morning. “An isolated tornado and some hail cannot be ruled out due to the very unstable conditions developing this afternoon.”
The chance of thunderstorms remains in the forecast Wednesday and Thursday.
Farther south, an excessive heat warning is in effect for several counties along the Missouri-Illinois border near Washington, Missouri, weather maps show.
Temperatures are expected to be in the 90s with heat indexes easily topping 100˚F. The combination of heat and humidity will make for dangerous weather and is expected to persist throughout the day, the NWS said.