3 Big Things Today, November 14, 2022
1. Soybean Futures Decline in Overnight Trading
Soybeans futures were lower in overnight trading amid signs of rising global production and favorable weather in parts of South America.
Last week, Brazil's national supply company CONAB said it now expects the country's soybean crop at about 153.5 million metric tons. That's up from a month-earlier projection of 152.4 million tons.
The U.S. Department of Agriculture on Nov. 9 said it sees Brazilian soybean output at 152 million metric tons, unchanged month-to-month.
A year earlier, Brazil produced 127 million metric tons, according to USDA.
Rains are forecast to spread through Mato Grosso, Goias, and Minas Gerais early this week. Rains across producing areas will improve soil moisture, especially in north-central and southern areas, according to a report from forecaster Maxar.
In Argentina, widespread rains over the weekend were expected to improve moisture and boost crop conditions, the forecaster said. Improvements also are expected in southwestern growing areas later this week.
Brazilian corn production, meanwhile, is forecast by CONAB at 126.4 million metric tons, which is down narrowly from the October outlook.
Soybean futures for January delivery dropped 14¾¢ to $14.35 ¼ a bushel overnight on the Chicago Board of Trade. Soymeal fell $2.20 to $405.20 a short ton, while soybean oil lost 1.12¢ to 75.85¢ a pound.
Corn for December delivery was down 5½¢ to $6.52 ¼ a bushel.
Wheat futures for December delivery fell 6½¢ to $8.07 a bushel, while Kansas City futures rose 1¢ to $9.44 ½ a bushel.**
2. Prices Received For Wheat Up in First Four Months of 2022-2023
Prices received for wheat in the 2022-2023 year so far have jumped year-over-year, according to data from USDA.
Farmers in the first four months of the marketing year that started on June 1 received $8.91 a bushel, on a non-weighted average, according to calculations by Successful Farming, using government data.
Hard-red winter prices averaged $8.77 a bushel, up from $7.84 a bushel in the previous year, while soft-red winter averaged $8.13 a bushel versus $7.51 a bushel.
Spring wheat growers also received an increased amount for their crops. Prices from June through September averaged $9.65 a bushel, USDA said.
That's up from $8.79 a bushel in the first four months of the marketing year, USDA said.
Industry group U.S. Wheat Associates said in a report on Friday that basis was flat for all classes in the Gulf. Basis also was flat for hard-red spring wheat, but down for hard-red winter. Soft-white prices also were down, the organization said.
"The break this week in U.S. Wheat futures has slowed farmer selling but coupled with the lower U.S. dollar and softer basis, U.S. wheat prices are becoming more competitive with other wheat exporters," U.S. Wheat Associates said.
3. Winter Weather Extends From New Mexico to Central Illinois
Winter-weather advisories have been issued from northeastern New Mexico into central Illinois as a cold front moves through the central U.S., according to the National Weather Service.
In southwestern Kansas, where hard-red winter wheat is growing, snow accumulations of up to 4 inches are expected today with winds gusting up to 35 mph, NWS said in a report early this morning.
In central Oklahoma, a winter-storm warning is in effect as heavy snow is forecast with 3 to 6 inches of accumulation expected.
Further east, in northern Missouri, up to 4 inches of snow is projected for the area.
Those on the roads should expected slippery conditions, NWS said.