Ag markets mixed to higher on Tuesday morning

decrease font size  Resize text   increase font size       Printer-friendly version of this article Printer-friendly version of this article

After spiking upward Monday in response to renewed concerns about U.S. planting delays during May, corn futures set back Tuesday morning. Some traders clearly thought the gains, particularly those by the old-crop contracts, were overdone, whereas others may simply think there is still adequate time to get the huge 2013 crop planted. U.S. dollar weakness probably limited losses. May corn was unchanged at $6.84/bushel late Tuesday morning, while December gained 5.25 cents to $5.6475.

Soybean futures also reversed to the downside in early Tuesday morning trading, but rebounded as the noon hour approached. Wire service reports suggested strong producer sales in response to the Monday surge undercut the market, but the effect was apparently temporary. The potential for sustained delays to corn planting and an eventual switch of many acres to soybeans probably weighed upon deferred futures to some extent. May soybean futures gained 0.25 cents to $14.72/bushel around mid-session Tuesday, while May soyoil slid 0.13 cents to 49.33 cents/pound; May soybean meal added $0.1 to $431.5/ton.

Wheat futures gave back a portion of their large Monday surge early Tuesday morning, to which traders attributed ideas that forecast precipitation over the central U.S. could offset the damage done by recent frosts. The late-morning breakdown in the U.S. dollar may have offered fresh support, since the cheaper greenback makes American products more attractive to export customers. Weather-related problems seem likely to offer continued support as well. May CBOT wheat futures jumped 12.25 cents to $7.22/bushel just before lunchtime Tuesday, while May KCBT wheat leapt 14.25 cents to $7.95 and May MGE futures surged 8.25 cents to $8.40.

Cattle futures rose moderately Tuesday morning after the Monday afternoon wholesale report seemed to confirm seasonally bullish expectations. Traders are almost surely anticipating a cash and futures rally in response to the belated arrival of spring grilling season with warming temperatures over much of the country during the days and weeks just ahead. The U.S. dollar decline very likely encouraged buying as well. June cattle rose 0.35 cents to 122.90 cents/pound late Tuesday morning, while December added 0.05 cents to 128.12. Feeder cattle futures rebounded from recent losses despite firm grain and soy prices; the May contract climbed 0.57 cents to 141.00 cents/pound, and August surged 0.75 cents to 150.62.

Continued cash and wholesale strength seemingly powered CME lean hog futures upward Tuesday morning. Predictions that the Monday quote for the CME cash equivalent price will jump 1.04 cents to 83.46 tomorrow apparently boosted the expiring May contract, while the deferred contracts anticipated sustained spring and summer strength. May hog futures jumped 0.85 cents to 90.15 cents/pound around midday Tuesday, and the June contract rose 0.57 cents to 92.72.

Buyers Guide

Doyle Equipment Manufacturing Co.
Doyle Equipment Manufacturing prides themselves as being “The King of the Rotary’s” with their Direct Drive Rotary Blend Systems. With numerous setup possibilities and sizes, ranging from a  more...
A.J. Sackett Sons & Company
Sackett Blend Towers feature the H.I.M, High Intensity Mixer, the next generation of blending and coating technology which supports Precision Fertilizer Blending®. Its unique design allows  more...
R&R Manufacturing Inc.
The R&R Minuteman Blend System is the original proven performer. Fast, precise blending with a compact foot print. Significantly lower horsepower requirement. Low inload height with large  more...
Junge Control Inc.
Junge Control Inc. creates state-of-the-art product blending and measuring solutions that allow you to totally maximize operating efficiency with amazing accuracy and repeatability, superior  more...
Yargus Manufacturing
The flagship blending system for the Layco product line is the fully automated Layco DW System™. The advanced technology of the Layco DW (Declining Weight) system results in a blending  more...
Yargus Manufacturing
The LAYCOTE™ Automated Coating System provides a new level of coating accuracy for a stand-alone coating system or for coating (impregnating) in an automated blending system. The unique  more...
John Deere
The DN345 Drawn Dry Spreader can carry more than 12 tons of fertilizer and 17.5 tons of lime. Designed to operate at field speeds up to 20 MPH with full loads and the G4 spreader uniformly  more...
Force Unlimited
The Pro-Force is a multi-purpose spreader with a wider apron and steeper sides. Our Pro-Force has the most aggressive 30” spinner on the market, and is capable of spreading higher rates of  more...
BBI Spreaders
MagnaSpread 2 & MagnaSpread 3 — With BBI’s patented multi-bin technology, these spreaders operate multiple hoppers guided by independent, variable-rate technology. These models are built on  more...

Comments (0) Leave a comment 

e-Mail (required)


characters left

Smooth Wall Grain Bins

Meridian’s SmoothWall bins are the ultimate storage bins, used to handle and store fertilizer, grain, feed and seed, and extend ... Read More

View all Products in this segment

View All Buyers Guides

Feedback Form
Feedback Form