High temperatures this week could rattle the soybean and wheat markets
Farmers across the Corn Belt and the Delta Region are feeling the full effects of summer, and while it may be good for some crops, it could be problematic for others.
Meteorologists warn temperatures this week could reach 110 degrees from southern South Dakota all the way to Texas. After that, it could settle between 95 and 105 from southern Minnesota to most of the Delta. Drew Lerner with World Weather tell Brownfield Ag News the heat could help corn reach maturity but be stressful for soybeans. Cattle are feeling the heat, too, with areas seeing highs topping 120 degrees. It should cool down by the weekend, but it is unlikely that much moisture to return.
While the fields and pastures will be sure to react to the extreme heat, so will the markets. Dan O’Brien with Kansas State says soybeans are the most vulnerable. Right now, they are in the reproductive state, and if the heat causes a decline in yields, there is less room to absorb a production cut. He tells Brownfield Ag News wheat prices are also a concern because right now, supplies from other countries are cheap and we are competing for exports. He says producers should consider selling some of the old crop on rallies to prepare for storing this year’s crop.