Corn futures are steady-mixed Wednesday morning. There’s little fresh news concerning corn at this point, so traders are uncertain about forthcoming direction. All signs point to a huge fall crop, but the market has already anticipated a major price drop during the coming weeks. September corn inched up 0.25 cent to $3.565/bushel Tuesday night, while December stalled at 3.6725.
The soy complex remains generally weak. The acres that didn’t get planted to corn this year boosted soy plantings to a record. When combined with likely record yields, the fall harvest looks set to smash the previous high. That prospect continues weighing on the bean and product markets. September soybean futures slipped 2.75 cents to $10.7875/bushel early Wednesday morning, while November futures dipped 4.75 cents to $10.61. September soyoil skidded 0.05 cents to 35.52 cents/pound and September soymeal sagged $0.3 to $355.4/ton.
The wheat markets are acting well, but face a big test. After dropping concert with corn and beans Tuesday morning, wheat futures staged an impressive rebound in afternoon trading. The move seems technical and pragmatic in nature, since little news seemed supportive. The gains continued overnight, but the nearby contracts failed at resistance associated with their 40-day moving averages, which may bode ill for a short-term follow-through. September CBOT wheat rallied 5.75 cents to $5.5825/bushel as Wednesday dawned over Chicago, while September KC wheat climbed 5.75 cents to $6.485/bushel, and September MWE wheat ran up 3.25 to $6.325.
Cattle futures slipped again in early Wednesday trade. Cattle futures couldn’t sustain early-Tuesday gains and continued sliding overnight. Industry suspicions that seasonal weakness will come to the fore were given fresh life by news of flat-lower wholesale quotes. October live cattle declined 0.40 cents to 155.25 cents/pound in early Wednesday action, while December tumbled 0.32 cents to 155.57. Meanwhile, September feeder futures edged up 0.10 cents to 220.82 cents/pound, and November feeders lost 0.25 cents t1o 217.90.
Hog futures were mixed overnight. Cash hog prices remained weak Tuesday, but wholesale pork quotes were narrowly mixed. Traders aren’t exactly optimistic about the short-to-intermediate-term outlook, but they have to wonder if the large discounts already built into futures have fully anticipated the current decline. October hog futures slipped 0.10 cents to 101.57 cents/pound early Wednesday morning, while December crept 0.07 cents lower to 93.90.
Cotton futures proved surprisingly firm Tuesday night. The current U.S. cotton crop also seemed likely to be outstanding, which, along with recent equity market weakness, has weighed on ICE prices. Nevertheless, futures bounced modestly overnight; that may have reflected talk that Chinese plantings fell about 10% short of the year-ago total. December cotton bounced 0.46 cents to 64.20 cents/pound shortly after sunrise Wednesday, while March futures gained 0.60 cents to 65.12.