CORN
Corn futures are called mixed to weaker after trading mostly unchanged overnight. The trade is light as farmers seize the opportunity to get some corn harvested between rain showers that are back in the Midwest forecast for next week. There is a lack of new positive news, but as long as rain keeps falling and Phase 1 of the new trade deal with China pans out, prices should maintain a degree of support. Outside market support from steady to higher crude is also noted.
SOYBEANS
Bean futures are called steady to firmer. Nov beans were mostly steady overnight, though did see some modest gains at times. The contract, at 9.33, is definitely trading sideways having put in a settlement range between 9.33-1/4 and 9.34 each of the last 5 days. A wet forecast should be viewed as supportive for price. Farmer selling, while it has likely picked up, remains generally light.
WHEAT
Wheat futures are called steady to lower on follow through. A hook reversal on Monday set the stage for lower prices this week and so far the market has followed through. Prices were steady overnight. Meanwhile, a reversal up in the U.S. dollar yesterday and poor weekly export sales is also viewed as negative.
CATTLE
Cattle futures are called steady to weaker. Prices seemed to run out of gas yesterday with futures posting a hook reversal which means the market traded higher yesterday than it did on Wednesday but finished lower. In a cash trade pattern similar to last week, Cattle owners turned their attention to the cash market and higher prices for fed cattle, accepting steady prices of $109/cwt which is a dollar over last week, underpinned by the Dec board trading around 115 and higher boxed beef.
HOGS
Hog futures are called mixed to lower on follow through. Feb hogs were down sharply yesterday and off for the third session in a row on technical selling. Prices have had a tough week with 200 point losses experienced in summer contracts yesterday, too. Look for follow through as major moving averages were violated yesterday.
Author
Carol Tillmann