(Agriculture.com) – SOYBEANS HIGHER OVERNIGHT AS DOLLAR PLUNGES, MAKING U.S. GOODS MORE APPEALING
Soybeans were higher overnight as the dollar plunges, boosting the appeal of U.S. supplies, and exports increased week-over-week. Corn and wheat also rose.
The dollar is down another 0.3% this morning, again nearing the lowest level in more than 32 months. A weaker greenback increases the attractiveness of U.S. goods as it gives overseas importers more purchasing power.
The value of the dollar earlier this month fell to the lowest since Jan. 15, and losses overnight put it near those levels.
Weekly export sales for soybeans also topped expectations, which is putting a bid under futures. Still, the total amount sold in the current marketing year trails both last year’s pace and the prior five-year average, according to the U.S. Department of Agriculture.
Soybeans for November delivery rose 8 ¼ cents to $9.79 a bushel overnight on the Chicago Board of Trade. Soymeal futures gained $3.40 to $316.30 a short ton and soy oil added 0.15 cent to 34.49 cents a pound.
Corn for December delivery rose 1 ¾ cents to $3.52 a bushel overnight.
Wheat for December delivery gained 1 ¾ cents to $4.54 ¼ a bushel in Chicago while Kansas City futures rose 2 ¼ cents to $4.51 ¾ a bushel.
SOYBEAN EXPORT SALES STRONG IN WEEK THROUGH SEPT. 14, CORN SALES WEAK
The weekly export sales report showed good news for beans, bad news for corn and average news for wheat.
Exporters sold 2.34 million metric tons of soybeans in the week that ended on Sept. 14, according to the Department of Agriculture, well above expectations for 1.2 million to 1.5 million.
China was, as usual, the biggest buyer at 1.4 million tons, followed by unknown destinations at 528,800 tons and Mexico at 213,100 tons. Taiwan bought 68,200 tons and Pakistan was in for 67,000 tons, the USDA said.
Corn sales totaled 526,900 metric tons, below forecasts for 700,000 to 900,000 tons.
Mexico was the big buyer, purchasing 264,100 tons of U.S. grain, followed by Japan at 11,600 tons, Colombia at 73,000 tons and Costa Rica at 30,400 tons.
Wheat sales came in at 307,200 tons, barely within expectations for 300,000 to 500,000 tons but down 3% from the prior week. The Philippines took 77,900 tons, Mexico bought 54,800 tons, Kenya purchased 41,100 tons, Japan was in for 32,700 tons and unknown buyers took 32,700 tons, according to the USDA.
HEAT WAVE MAKING WAY THROUGH MIDWEST TO PUSH INDEXES TO TRIPLE DIGITS
A rare September heat index warning has been issued for much of central Iowa and north-central Missouri today as temperatures will approach 100 degrees Fahrenheit in the area.
“The combination of heat and humidity will push heat index values into the 90s with a few locations approaching 100 degrees,” the National Weather Service said in a report early Friday.
Hot weather is also expected in parts of Wisconsin, Illinois, Indiana and Ohio, along with southern Michigan this weekend with indexes in some areas reaching triple digits.
Widespread showers and thunderstorms are, however, expected in central Iowa starting Sunday, though severe weather isn’t expected.
Storms also are expected starting tomorrow and extend into next week for parts of northern Iowa, southern Minnesota, northeast Nebraska and southeast South Dakota.
