Weather plays a crucial role in the agricultural market, influencing the prices and sales of various commodities. In this article, we'll explore how recent weather patterns have affected corn, wheat, and soybean futures, as well as soybean sales and snow forecasts in specific regions.

Unraveling the Weather-Agriculture Nexus

Corn and Wheat Futures in Overnight Trading

Corn and wheat futures witnessed a downward trend in overnight trading due to signs of favorable weather in parts of South America. Last week, rainfall in southern Brazil improved the prospects for recently planted crops. As much as 50 millimeters (2 inches) of rain fell from Nov. 27 through Dec. 1, and some areas received up to 30 millimeters of precipitation. Brazil's standard precipitation index for November showed that northern and southern states suffered from dryness, while central states received ample rainfall. Rain has also fallen in parts of Argentina, boosting crop prospects. For example, corn futures for March delivery fell 2 1/4¢ to $4.30 3/4 a bushel on the Chicago Board of Trade. Wheat futures lost 3 3/4¢ to $5.44 1/4 a bushel, and Kansas City futures declined 2 3/4¢ to $5.38 a bushel.

Soybean Sales Surge to a Marketing Year High

Soybean sales for export experienced a significant jump, reaching a marketing year high. In the seven days ending on Nov. 21, sales to overseas buyers totaled 2.49 million metric tons, up 34% from the previous week and 31% from the prior four-week average. China was the largest buyer, purchasing 1.09 million tons, followed by Mexico (339,000 tons) and Germany (202,000 tons). USDA also reported that exports for the week totaled 2.08 million tons, down 15% from the previous week. Corn sales, on the other hand, fell 29% weekly to 1.06 million metric tons, down 46% from the average for this time of year. Mexico bought 405,200 tons, an unnamed destination took 115,900 tons, Guatemala was in for 93,700 tons, and Colombia purchased 74,000 tons. Wheat sales last week were reported at 366,800 metric tons, down 33% from the week prior and 15% from the average. An unnamed country took 95,000 tons, Taiwan purchased 59,100 tons, Vietnam bought 36,500 tons, Mexico was in for 35,700 tons, and Guatemala bought 30,300 tons. Wheat exports for the week jumped to 433,800 tons.

Snow Forecast for Parts of Iowa

Snow is expected to continue to roll through much of Iowa this morning, with accumulation expected to be less than an inch. However, roads might be slick or covered with snow. Strong winds are forecast to start from Wednesday morning, with gusts expected at around 45 mph. In southern Illinois, light snow is in the forecast for today, with a dusting likely. "Snow is expected to begin in Illinois and parts of southeast Missouri this morning and move into southwest Indiana and western Kentucky by this afternoon," NWS said.