Hot forecasts help soybean prices in US

Published 2022년 7월 27일

Tridge summary

Hot and dry weather forecasted for the central U.S. in August led to a 3% increase in soybean contracts and a moderate increase in corn prices. Wheat prices, however, fell 1.75%. The Dow climbed after the Federal Reserve's interest rate hike, and energy futures also saw gains. South Africa expects a nearly 10% reduction in its 2022 corn harvest, while Indonesia is experimenting with biodiesel containing 40% palm oil. The USDA is expected to report on corn and soybean sales, and there is varied forecasted range for these sales. Egypt has cancelled Ukrainian wheat contracts due to the conflict, but there is hope for Black Sea shipping lanes to reopen. Taiwan and Jordan have purchased large quantities of wheat from the U.S. and optional origins, respectively.

Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

The prospect of plentiful hot, dry weather in the central U.S. rolling into August prompted a round of technical buying that lifted nearby soybean contracts more than 3% higher on Wednesday. The spillover strength also helped corn prices find moderate gains today. Wheat failed to follow suit, meantime, with most contracts down around 1.75% as traders eye Ukraine’s latest export prospects. More rain is on its way across the lower Midwest between Thursday and Sunday, with a band stretching from southern Kansas through Kentucky and Tennessee likely to gather the largest totals (more than 4” in some spots), per NOAA’s latest 72-hour cumulative precipitation map. NOAA’s 8-to-14-day outlook predicts a return to seasonally hot, dry weather for most of the Corn Belt between August 3 and August 9. On Wall St., the Dow climbed 378 points in afternoon trading to 32,140 as investors absorbed news from the latest Federal Reserve meeting that concluded today. The Fed enacted another interest ...

Source: Prairie Grain Partners