July 24, 2024

Soybean and grain futures fall

2 min read
Soybean and grain futures fall
Soybean and grain futures fall

Soybean and grain futures fell in overnight trade on concerns over US exports, according to Agriculture.com. Water levels in parts of the Mississippi River fell to record lows earlier this week and are expected to remain low for several days, making it difficult to transport grain across the waterway.

The extremely dry climate in the region did not help the situation. The river near New Madrid, Missouri, dropped to a low level earlier this week and will remain near those levels until at least Oct. 25, according to data from the National Weather Service. Although no red flag warnings have yet been issued for the region, parts of Illinois will remain extremely dry today and tomorrow, worsening already low water conditions.

Dry weather and low water levels make it difficult for ships carrying grain, fertilizer and other agricultural products to reach export terminals in the Gulf of Mexico. About 60% of grain shipments leave the United States through terminals on the Gulf Coast. The Commodity Weather Group said in a statement yesterday that rain over the next two weeks will not be enough to improve Mississippi River flows.

Soybean futures for November delivery were down 10 cents at $13.90. Soybean meal fell $2.40 to $410.90 a ton, while soybean oil lost 0.35 cents to $70.07 a pound. Corn for December delivery fell 3 1/2¢ to $6.80 ½ a bushel. Wheat futures for December delivery fell 9 1/2¢ to $8.39 ¾ a bushel overnight on the Chicago Board of Trade, while Kansas City futures fell 9 1/4¢ to 9.40 ¼ a bushel.

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