1. Soybean Futures Rise in Overnight Trading
Soybeans were higher in overnight trading on signs of demand and as dry weather persists in much of the Corn Belt.
Exporters sold 129,000 metric tons of soybeans to China for delivery in the marketing year that started on Sept. 1, according to the U.S. Department of Agriculture. Another 318,000 metric tons of sales were reported to an unnamed country.
China also bought 350,000 metric tons of corn, and Japan purchased 106,000 tons of the grain from U.S. supplies, the USDA said in a report yesterday.
Drought conditions continue to worsen in Iowa, where about 39% of the state was suffering from a severe or extreme drought, according to the U.S. Drought Monitor.
Under a severe drought, crop or pasture losses are likely and water shortages are common. In an extreme drought, major crop losses are imminent and there are widespread water shortages or restrictions, the monitor said.
About 63% of the U.S. soybean crop was in good or excellent condition at the start of the week, down from 65% seven days earlier, the USDA said. Some 37% of the crop was dropping leaves.
Sixty percent of U.S. corn earned top ratings as of Sunday, down 1 percentage point from the previous week. About 5% was harvested and 41% was mature, the agency said.
Soybean futures for November delivery added 5¾¢ to $10.05¼ a bushel overnight on the Chicago Board of Trade. Soymeal gained $1.50 to $323.50 a short ton and soy oil rose 0.18¢ to 34.47¢ a pound.
Corn futures for December delivery fell 1½¢ to $3.68 a bushel.
Wheat futures for September delivery lost 2¼¢ to $5.34½ a bushel, while Kansas City futures fell ¼¢ to $4.73¼ a bushel.
2. Export Inspections of Corn, Beans, and Wheat All Decline Week-to-Week
Export inspections of corn and beans were both slightly lower week-to-week, according to the USDA.
Corn assessments in the seven days that ended on Sept. 10 were reported at 878,907 metric tons, down from 887,889 tons a week earlier, the agency said in a report.
The total was still more than double the 423,129 tons inspected during the same week last year.
Soybean inspections for offshore delivery declined to 1.28 million metric tons, down from 1.4 million tons a week earlier, the USDA said. That was almost double the 668,496 tons examined at the same time in 2019.
Wheat assessments fell to 637,226 metric tons last week, down from 699,310 tons the previous week, government data show. Still, that’s higher than the 517,966 tons inspected in the same week a year earlier.
Since the start of the marketing year on Sept. 1, the USDA has inspected 1.15 million metric tons of corn for overseas delivery, up from the 895,139 tons assessed during the same period in 2019.
Soybean inspections since the beginning of the month are now at 1.85 million metric tons, more than the 1.24 million tons examined at the same point in 2019.
Wheat examinations since the grain’s marketing year began on June 1 now stand at 8.1 million metric tons, ahead of the 7.53 million tons assessed during the same time frame last year, the USDA said.
3. Hurricane Sally, Now a Category 1 Storm, Moving Slowly Toward Gulf Coast
Hurricane Sally is moving at about 2 mph toward the U.S. Gulf Coast with sustained winds of up to 85 mph, according to Accuweather.com.
The storm is now a Category 1 hurricane and is expected to make landfall sometime Wednesday somewhere along the Louisiana, Alabama, and Mississippi coasts. Sally is still about 75 miles southeast of the mouth of the Mississippi River, Accuweather said.
“Life-threatening storm surges, hurricane force winds, and torrential rainfall are expected to move into the area on Tuesday along the Mississippi Gulf Coast,” the National Weather Service said in a report early this morning. “Tropical storm, hurricane, and storm surge warnings are in effect for parts of the area.”
In the Midwest, dry weather is expected to continue for much of the region for the next several days. Temperatures will top out in the low- to mid-80s from central Nebraska through northern Indiana through Wednesday before turning cooler.
Still, little to no rain is in the forecast at this point.
3 Big Things Today, September 15, 2020 – Successful Farming