3 Big Things Today, January 16
1. Soybeans, Corn Rise Overnight on Hot Brazil Weather
Soybeans and corn rose in overnight trading on concerns about hot, dry weather in Brazil.
Northern Brazil is expected to be hot and dry the rest of the week, with temperatures in the mid- to upper 90s. The heat will expand into northeastern and central regions of the South American country, according to Commodity Weather Group.
About a quarter of the corn crop faces the biggest threat from the heat in the next two weeks, the forecaster said, along with about 20% of the soybean crop. Fifteen to 20% of sugar and a third of the coffee and cotton crops are at risk, CWG said.
Still, there is a chance for some weekend showers in central and northwestern states, which could reduce yield threats, the forecaster said.
Soybeans for March delivery rose 4¼¢ to $8.97½ a bushel overnight on the Chicago Board of Trade. Soy meal gained $1.40 to $310.70 a short ton, and soy oil added 0.06¢ to 28.30¢ a pound.
Corn rose 3¢ to $3.74¼ a bushel overnight
Wheat for March delivery added 4½¢ to $5.15½ a bushel, while Kansas City futures gained 3¾¢ to $4.99¼ a bushel.
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Today’s 3 Big Things from Successful Farming magazine is brought to you by Golden Harvest Seeds.
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2. Grassley Says U.S. Didn’t See Movement on ‘Structural’ Issues During China Talks
Maybe the talks with China didn’t go as well as previously thought.
Iowa Senator Charles Grassley said Tuesday that U.S. Trade Representative Robert Lighthizer didn’t see progress on some important issues during the meetings that lasted more than two days last week.
While some progress was made – Lighthizer was positive about the recent rounds of soybean purchases by China – there wasn’t any movement on “structural changes” relating to intellectual property and trade secrets, Grassley told reporters, according to media reports.
President Donald Trump and President Xi Jinping met at the beginning of December and came to a temporary agreement under which the U.S. would delay hiking tariff rates on $200 billion worth of Chinese goods, and Beijing said it would buy more agricultural products and curb levies on American cars.
Negotiators have until March 1 to come up with a deal or the U.S. will raise the tariff rate to 25% from its current level of 10%, the White House has said.
China is sending a top-level negotiator to Washington later this month to continue talks. With China’s economy suffering from the ongoing trade war with the U.S., Grassley said during his weekly conference call that he believes its government will want to make progress on an agreement.
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Today’s 3 Big Things from Successful Farming magazine is brought to you by Golden Harvest Seeds.
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3. Winter Weather Advisories in Effect For Kansas, Missouri, Michigan, Ohio
A winter weather advisory has been issued for much of northern Kansas and Missouri starting at noon today and lasting until early tomorrow morning.
Mixed precipitation is expected in the region, though total accumulations of snow are forecast at less than an inch, according to the National Weather Service. Ice accumulations are forecast at around a tenth of an inch.
Roads are expected to be slick, and travel isn’t advised.
Farther north, a winter weather advisory also has been issued for much of Michigan, northern Indiana, and almost all of Ohio, the NWS said in a report early Wednesday morning.
Areas of light freezing drizzle and light snow are falling this morning, making roadways and sidewalks extremely slippery, the agency said.