- Wheat futures fall in overnight trading
Wheat futures were down overnight as trading resumes after a one-day break amid favorable growing conditions in key growing regions around the world.
For the week, some 49% of the U.S. winter wheat crop was rated good or excellent as of Monday versus 47% a week earlier and 38% a year ago, the Department of Agriculture said.
The harvest is well ahead of schedule, with 27% of the crop already in the bin versus 12% a week earlier and the prior five-year average of 14%, USDA said in a report earlier this week.
All in all, the U.S. spring wheat crop is off to a good start with 76% rated good or excellent as of Sunday. That is up from 72% seven days earlier and well ahead of the 51% that earned top ratings a year earlier.
Four percent of the crop is headed versus the average of 7% for this time of year.
He did add, however, that portions of Europe are still forecasting rainfall events that will enhance wheat prospects in parts of France and Spain, and precipitation in Canada will enhance conditions in southern Alberta and Saskatchewan. A little more rainfall will be needed in parts of Canada to counterbalance long-term dry weather, however.
Wheat futures for September delivery fell 6 1/4¢ to $5.92 3/4 a bushel overnight on the Chicago Board of Trade, while Kansas City futures slid 6¢ to $6.03 3/4 a bushel.
Corn futures dropped 2 1/2¢ to $4.65 1/4 a bushel.
Soybeans for November delivery lost 4¢ to $11.28 a bushel, soymeal fell $3 to $342.20 a short ton and soy oil gained 0.18¢ to 44.62¢ a pound.
- Mexican corn imports forecast to increase
Corn imports into Mexico are expected to rise amid lower-than-average domestic production and improved demand for animal feed, according to USDA’s Foreign Agricultural Service.
Mexico, the number one destination for U.S. corn, will import 22 million metric tons of the grain in the 2023-2024 marketing year that began in October, the agency said in a report. If realized that’s up from 21.1 million tons a year earlier.
Imports in the 2024-2025 marketing year ballooned to 22.2 million tons, USDA said.
It pegged corn production in Mexico at 22.7 million metric tons for the current marketing year, compared to 28.1 million a year earlier. Output is projected to rebound to 25 million tons in 2024-2025 as farmers plant more acres and rainfall returned closer to average from this current year.
Harvested area in the current marketing year dropped to 6.1 million hectares from 6.9 million hectares a year earlier.
For 2024-2025, farmers in Mexico will harvest corn from 6.4 million hectares, the Ag Department said.
Planting is underway in several parts of Mexico.
“For the spring/summer corn cycle, producer expectations are for La Nina conditions to bring more average precipitation,” USDA said.
- Floods forecast for parts of South Dakota, Iowa
Flood warnings and watches have been issued for several counties in southeastern South Dakota, southwestern Minnesota and northwestern Iowa because of heavy rainfall, according to the National Weather Service.
The overnight rain totals adding up to as much as 4 inches caused areas whose soil was already saturated to flood, the agency said in a report.
“Area creeks and streams are running high and could flood with more heavy rains,” NWS said.
The flood watch in the area will stay in effect until tomorrow morning.
Hot weather is projected for a good deal of northern Indiana and Ohio today with temperatures reaching as high as 102 degrees Fahrenheit, the agency said.
“Extreme heat and humidity will significantly increase the potential for heat related illnesses, particularly for those working or participating in outdoor activities,” NWS said.