Ag markets turned higher Tuesday morning
News of a large Korean sale seemed to boost corn prices Tuesday morning. Reduced Black Sea tensions undercut corn and the other crop markets Monday, but prices have bounced from those lows. The rise partially reflects strength spilling over from the wheat and soy complexes. However, yellow grain prices are very likely reacting to news of a sizeable Korean purchase of U.S. and South American corn early this morning. May corn gained 6.75 cents to $4.8575/bushel around midsession Tuesday, while December added 4.25 to $4.8675.
The soy complex seemingly posted a technical advance in early Tuesday trading. Soybeans slipped in Monday evening action. However, beans and meal rebounded strongly in early trading and climbed farther as the morning progressed. Little pertinent news was evident, thereby suggesting the bounce was technically inspired. May soybeans jumped 23.5 cents to $14.1525/bushel in late morning action, while May soyoil bounced 0.39 cents to 42.28 cents/pound, and May soymeal surged $7.7 at $454.3/ton.
Reports of Great Plains dryness are spurring wheat gains. Persistent tensions associated with the Black Sea situation are probably supporting the wheat markets, but wire service sources are focusing upon dryness dominating the southern Plains and some areas of the Midwest. News that 55,000 tonnes of U.S. wheat had been included in the latest Egyptian purchase also encouraged bulls. May CBOT wheat futures ran up 12.25 cents to $6.8675/bushel late Tuesday morning, while May KCBT wheat futures vaulted 12.25 cents higher to $7.5575 and May MWE futures climbed 11.0 to $7.3525.
Renewed wholesale strength is boosting cattle futures again. Worries that wholesale beef prices are peaking and could potentially move lower through the second half of March seemed to weigh on the cattle market Monday. However, beef prices posted moderate gains this morning, which apparently spurred fresh bullish interest at the CME. April cattle futures rallied 0.65 cents to 145.67 cents/pound just before lunchtime Tuesday, while August slipped 0.05 cents to 135.37. Meanwhile, April feeder cattle fell 0.67 cents to 177.30 cents/pound, and August sagged 0.30 to 179.60.
Hog futures resumed their big surge this morning. Cash hog and wholesale pork values reportedly remained very strong in early Tuesday activity, which rather obviously translated into a renewed advance in Chicago. April hogs leapt 1.75 cents to 123.45 cents/pound late Tuesday morning, while June soared 2.50 to 133.27.
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