1. Soybean and Grain Futures Plunge in Overnight Trading

Soybeans fell from the highest prices in more than six years in overnight trading and grains declined on signs of weak demand and profit-taking by speculative investors.

Export sales of soybeans plunged week-to-week and corn and wheat sales both hit marketing-year lows, according to the U.S. Department of Agriculture.

The USDA hasn’t reported sales of more than 100,000 metric tons of any crop since Feb. 12 when it said Costa Rica and Guatemala bought U.S. corn.

The slack demand, at least for the moment, may be tempering concerns about short global supplies.

Some large funds and other speculators who were long the market, or bet on higher prices, may be selling contracts and liquidating their positions after soybeans yesterday reach the highest since 2014.

READ MORE: All farm markets drop Friday

Soybean stockpiles in China were pegged at almost 6 million metric tons as of Feb. 19, an increase of 8% year-over-year, agriculture consultant CCOBN said in a report.

Prices had been rising on worries about rainfall in Brazil that’s delaying the harvest. Precipitation is expected in northern and east-central areas where it would continue to delay soybean collection and safrinha corn planting, said Donald Keeney, an agricultural meteorologist with forecaster Maxar.

Rains this week were as expected and favored Mato Grosso, north Goias, north Minas, and several other states, he said. Rains will fall over northern and east-central growing areas through Monday, the forecaster said.

Soybean futures for March delivery plunged 24¢ to $13.83½ a bushel overnight on the Chicago Board of Trade. Soymeal was down $6.70 to $416.30 a short ton, and soy oil fell 0.63¢ to 49.04¢ a pound.

Corn for March delivery dropped 9¢ to $5.40¾ a bushel. 

Wheat futures for March delivery fell 12½¢ to $6.63¼ a bushel, while Kansas City futures lost 13¼¢ to $6.39¼ a bushel.

2. Weekly Corn and Wheat Export Sales Drop to Marketing-Year Lows

Export sales of corn and wheat each dropped to a marketing-year low last week while soybean sales plunged, according to the USDA.

Corn sales to overseas buyers fell to 453,300 metric tons in the seven days that ended on Feb. 18, the agency said.

That’s down 55% from the previous week and 85% from the prior four-week average and the lowest since the 2020-2021 marketing year started on Sept. 1.

Peru was the big buyer at 160,300 metric tons, followed by Vietnam at 146,200 tons and Japan at 96,500 tons, the government said. Mexico took 85,700 metric tons and South Korea was in for 69,400 tons. Unnamed countries canceled shipments of 300,500 metric tons.

Exports last week fell 14% to 1.19 million metric tons.

Wheat sales were reported at 167,700 metric tons, down 58% week-to-week and 67% from the average and the lowest level since the grain’s marketing year started on June 1.

Bangladesh bought 55,000 metric tons, Mexico took 53,500 tons, Japan was in for 52,400 tons, the Philippines bought 50,000 tons, and Italy purchased 25,000 tons.

The total would have been higher but unknown destinations nixed shipments of 83,000 tons, the USDA said.

Exports for the week totaled 392,800 metric tons, up 4% week-to-week.

Soybean sales to offshore buyers plunged to 167,900 metric tons, down 63% from the prior week and 72% from the four-week average, the agency said.

The Netherlands purchased 139,100 metric tons, Japan was in for 77,700 tons, Germany bought 75,200 tons, Bangladesh took 58,200 tons, and Spain bought 57,500 tons. As with the grains, an unnamed buyer canceled cargoes, this time totaling 300,800 metric tons.

Exports for the week totaled 1.05 million metric tons, up 5% from the previous week but down 42% from the prior four-week average, the USDA said in its report.

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3. Flood Warnings and Watches in Effect in Parts of Eastern Nebraska  

Flood warnings and watches are in effect for parts of eastern Nebraska as ice is reportedly moving down the Platte River, according to the National Weather Service.

“Ice jam flooding, mainly in low-lying areas adjacent to the river, is expected through the weekend,” the NWS said in a report. “Minor flooding was already occurring” in some areas.

Water levels can change quickly when ice jams are present and those living near rivers should keep an eye out for rising waters, the agency said.

Just north in southern Minnesota and eastern South Dakota, a wind advisory has been issued as the area is expected to see sustained winds of 25 to 35 mph with gusts of up to 50 mph. Tree limbs could fall and some power outages may occur.

In the southern Plains where hard-red winter wheat is overwintering, near-critical fire weather is a risk due to low humidity and strong winds, the NWS said.

In southern Colorado, strong winds will move out of the mountains into lower elevations. Gusts of up to 50 mph are possible at higher elevations and 30 to 40 mph in lower elevations, the agency said this morning.