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3 Big Things Today, January 18, 2022

January 18, 2022
Reading Time: 3 mins read
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1. Overnight Trading Sees Corn and Soybean Futures Fall

Soybean futures plunged, and corn was lower overnight trading due to expectations for better moisture conditions South America.

Rain was mostly expected in Mato Grosso, Sao Paulo and Parana states over the weekend, but it also fell in other areas as weather maps show.

Though temperatures are expected to be around 30°C. (86°F.) (86degF.)

The South American country is likely to see an increase in soil moisture from the precipitation.

The U.S. Department of Agriculture put the Brazilian soybean production at 139 Million metric tons for the 2021-2022 year. This is down from the previous outlook of 144,000,000 tons. If realized, that would be just above last year’s output of 138 million tons.

The country’s corn production is expected to be 115 million metric tonnes this year, a decrease from the previous forecast of 118 million tons. This would still be an increase from the 87 million tonnes in the previous year.

Soybean futures for March delivery plunged 14½¢ to $13.55¼ a bushel overnight on the Chicago Board of Trade. Soymeal dropped $8.70 to $396.90 a short ton and soybean oil futures lost 0.44¢ to 58.02¢ a pound.

Corn futures for March delivery fell 4¾¢ to $5.91½ a bushel.

Overnight trading saw wheat futures rise as dry, hot weather persists in the U.S. Southern Plains.

According to the U.S. Drought Monitoring, 58% of Kansas, the largest producer of grain, was experiencing drought conditions last week. This is up from 52% a few weeks earlier and only 15% three month ago.

Oklahoma’s drought conditions were in flux for 88%, which was little different from the 62% that was suffering three months ago.

Wheat for March delivery jumped 9¾¢ to $7.51¼ a bushel overnight while Kansas City futures gained 10¾¢ to $7.55¾ a bushel.

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**

2. Southern Plains Extremely Low Soil Moisture

According to maps from National Oceanic and Atmospheric Administration (NOAA), the Southern Plains are not ideal for hard-red winter grain.

Much of southwestern Kansas, the western half of Oklahoma, and almost all of the Texas panhandle have less than 2 centimeters (0.8 inch) of soil moisture on then NOAA’s soil-moisture percentile scale.

Snowfall totals also aren’t looking good for hard-red winter plants as NOAA data show no snow on the ground in the Southern Plains.

The maps show that there is no snowpack from the border of Texas and Mexico to Nebraska, in fact.

Little or no precipitation has fallen in the region in the past 30 days, data from the National Weather Service’s precipitation page show.

The USDA released a report on January 3, showing Kansas’ topsoil moisture levels at the beginning of January was 28% adequate, or surplus, while being rated 72% too short or very short. The agency reported that subsoil moisture was 35% sufficient or surplus and that it was 65% very short.

The next crop progress report is due to be published on January 24,

**

3. Winter-Weather Alerts Issued for Minnesota and North Dakota

According to the National Weather Service (NWS), winter-weather advisories were issued for several counties in eastern North Dakota, and western Minnesota.

Near blizzard conditions can be expected in parts of eastern North Dakota at around 11 a.m. Wind gusts of up 55 mph are possible, according to the NWS in a report this morning. Additional 3 inches of snow are expected.

The advisories will remain in effect until midnight.

“Widespread blowing snow could significantly reduce visibility,” the agency said. “The hazardous conditions could impact the evening commute. The dangerously cold wind chills as low as -30°F. could cause frostbite on exposed skin in as little as 10 minutes.”

In northern Iowa and southern Minnesota, meanwhile, a wind-chill advisory will take effect overnight into Wednesday as values are expected to drop as low as -25°F.

Source: Successful Farming

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