3 Big Things Today, September 17, 2021
1. Soybeans and Corn Lower in Overnight Trading
Soybeans and corn were lower in overnight trading on mostly favorable weather in U.S. growing areas.
Rain is expected in much of Iowa and parts of northern and western Illinois today and likely will continue starting Sunday, according to the National Weather Service.
Commodity Weather Group said in a report that rains are expected in parts of the Midwest next week, which will aid late corn and soybean filling and keep dryness limited to about 15% of the U.S. Corn Belt.
Precipitation also is forecast to benefit soybean filling this week, CWG said.
In the 16- to 30-day outlook, the forecaster said it expected any corn and soybean harvest delays to be limited to the southwestern quarter of the Midwest and that the Delta region will see favorable harvest conditions.
In Argentina, meanwhile, rainfall is aiding growth after light frost earlier this week, CWG said in its report.
U.S. export sales reports have been all over the place this week.
Exporters reported sales of 132,000 metric tons of soybeans to China on Monday, but that was followed on Wednesday with an announcement that China had canceled an order for 132,000 metric tons and an unknown country nixed shipments of 196,000 tons, according to the U.S. Department of Agriculture.
Yesterday, however, exporters reported sales of 132,000 metric tons of U.S. soybeans to China.
Soybean futures for November delivery fell 7¢ to $12.89 a bushel overnight on the Chicago Board of Trade. Soymeal lost $1.90 to $342.20 a short ton and soy oil dropped 0.27¢ to 56.57¢ a pound.
Corn futures for December delivery declined 1¢ to $5.28½ a bushel.
Wheat futures for December delivery rose ½¢ to $7.13½ a bushel, while Kansas City futures lost 1¢ to $7.19½ a bushel.**
2. Export Sales of Wheat Jump to Marketing-Year High
Export sales of wheat rose week-to-week while corn and bean sales in the first full week of the 2021-2022 marketing year were impressive.
Wheat sales to overseas buyers totaled 617,100 metric tons – a marketing-year high – in the seven days that ended on Sept. 9, according to the USDA.
That’s also up 59% from the previous week and well above the prior five-year average, the agency said.
Nigeria bought 328,900 metric tons, Mexico took 78,300 tons, South Korea purchased 69,100 tons, Taiwan took 54,600 tons, and Guatemala was in for 34,900 tons. The total would’ve been higher but an unnamed country canceled shipments totaling 31,300 tons.
Exports for the week were reported at 514,100 metric tons, up 32% from the previous week, the USDA said.
Corn sales in the first full week of 2021-2022 totaled 246,600 metric tons, government data show. The marketing year for corn and soybeans starts on Sept. 1.
Mexico was the big buyer at 154,300 metric tons, unknown destinations took 75,200 tons, Canada was in for 15,100 tons, Jamaica bought 5,000 tons, and Hondurans was in for 3,500 tons. Colombia, meanwhile, nixed cargoes totaling 12,000 metric tons.
Exports of corn for the week totaled 192,000 metric tons.
Soybean sales to offshore buyers totaled 1.26 million metric tons, the agency said.
China bought 945,200 metric tons, an unnamed country took 163,000 tons, Egypt purchased 80,000 tons, Taiwan was in for 20,500 tons, and Indonesia bought 16,000 tons from U.S. supplies.
Exports for the week came in at 244,400 metric tons, the USDA said in its report.
3. Red-Flag Warning Issued in Western North Dakota
A red-flag warning has been issued in parts of western North Dakota this afternoon and evening amid extremely dry conditions, according to the National Weather Service.
Winds of around 20 mph along with gusts up to 30 mph are expected, the NWS said in a report early this morning. Relative humidity will fall as low as 17%.
“Any fires that ignite will spread rapidly and become difficult to control or suppress,” the agency said.
Farther southeast in parts of northern and central Iowa, scattered thunderstorms are expected today and tonight, though extreme weather isn’t expected.
“Thunderstorms will continue to move southeast through the area this morning behind a cold front,” the NWS said. “Some of the stronger storms could contain strong wind gusts to 40 mph this morning. Otherwise, a few isolated thunderstorms are possible through the day across southeast Nebraska.”
More storms will fire up in eastern Nebraska and western Iowa on Sunday and Monday as another weather system rolls through the area, the agency said.