1. Grains and Soybeans Slightly Higher in Overnight Trading

Grain and soybean futures were modestly higher overnight on signs of continued demand for U.S. agricultural products.

Since the start of the marketing year on Sept. 1, offshore buyers have purchased 33.2 million metric tons of corn from the U.S., a 179% increase from the same timeframe last year, the Department of Agriculture said in a report yesterday.

Soybean sales since the start of September now stand at 48.5 million metric tons, a 132% increase from the same period in 2019, the USDA said.

Wheat sales since the grain’s marketing year began on June 1 now stand at 16.9 million metric tons, a 12% year-over-year increase.

Exporters reported sales of 106,000 metric tons of sorghum to China for delivery in the current marketing year and 33,000 tons of soybean oil to India, the Department of Agriculture said in a report yesterday.

Traders and producers alike also are looking ahead to next week’s World Agricultural Supply and Demand Estimates (WASDE) report.

Analysts have pegged corn stockpiles at 2.033 billion bushels and production at 14.659 billion bushels on yield of 177.7 bushels an acre, researcher Allendale said Friday. Bean inventories are pegged at 235 million bushels, while production is seen at 4.251 billion bushels on yield of 51.6 bushels an acre.

Wheat ending stocks are forecast at 881 million bushels, Allendale said.

Soybean futures for January delivery were up 1¢ to $11.04 ¾ a bushel overnight on the Chicago Board of Trade. Soymeal gained $1 to $388.80 a short ton and soy oil fell 0.19¢ to 35.28¢ a pound.

Wheat futures for December delivery gained 2 3/4¢ at $6.12 a bushel in Chicago while Kansas City futures added 3 3/4¢ to $5.66 ¾ a bushel.

Corn futures for December delivery were up 3/4¢ to $4.10 a bushel.

2. Export Sales of Wheat, Beans Lower Week-to-Week While Corn Surges

Export sales of wheat and beans declined week-to-week while corn sales improved, according to the USDA.

Sales of wheat for overseas in the seven days that ended on Oct. 29 totaled 597,100 metric tons, the agency said. That’s down 20% from the previous week but up 10% from the prior four-week average.

An unnamed country was the big buyer at 138,500 metric tons, Taiwan was in for 88,600 tons, South Korea purchased 86,300 tons, the Philippines was in for 59,000 tons and Colombia took 50,300 tons, according to the U.S. government.

Soybean sales were also lower, falling 6% to 1.53 million metric tons, down 6% week-to-week but up 32% from the average for this time of year.

China bought more than half of the total, taking 810,700 metric tons, the USDA said. Egypt was in for 283,300 tons, Mexico purchased 92.700 tons, the Netherlands took 85,800 tons and Canad bought 71,400 tons.

An unknown destination canceled cargoes worth 27,000 tons, the agency said.

Corn sales, meanwhile, were up 16% from the prior week and 75% from the four-week average to 2.61 million metric tons.

Mexico purchased 1.06 million metric tons, an unnamed country bought 781,600 tons, China was in for 212,300 tons, South Korea purchased 132,700 tons and Colombia took 127,700 tons, the USDA said in its report.

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3. Red-Flag Warnings Issued in Parts of Colorado, Kansas and Nebraska

A red-flag warning has been issued for much of eastern Colorado, western Kansas through central Nebraska, according to the National Weather Service.

Along the Colorado-Kansas border in the southern Plains, relative humidity is expected to fall as low as 13% and winds are forecast from 15 to 25 miles an hour with gusts of up to 35 miles an hour today, the NWS said in a report early this morning.

“A combination of strong winds, low relative humidity and warm temperatures can contribute to extreme fire behavior,” the agency said.

In central Nebraska, meanwhile, humidity is pegged at below 15% with wind gusts of up to 30 miles an hour.

“Any fire … will be capable of spreading rapidly and exhibit erratic behavior,” the NWS said.

The dry weather will persist in the southern Plains through most of the weekend.

In central Kansas, some scattered showers may move into the area early next week, with a slight threat of some strong to severe thunderstorms in the forecast, the NWS said.