Accelerating harvesting may be weighing upon grain prices Wednesday. Belated news that U.S. interests had reached a deal to supply Taiwan with large amounts of corn and ethanol in the coming months seemingly did little to support the crop markets Wednesday. Talk of accelerating harvest rates in the southern part of the country, as well as forecasts for improved weekend rainfall probably weighed on prices. December corn dipped 0.25 cent to $4.6875/bushel Wednesday morning, while May sagged 0.75 cent to $4.8925.
The prospect of reduced Chinese production likely supported soybeans this morning. Chinese officials reportedly expect their current soybean crop to fall 4.2% short of the year-ago total, which probably bodes well for future import demand. However, cash market weakness and improved precipitation prospects for the weekend seemed to limit CBOT gains. November soybeans gained 2.25 cents to $13.5725/bushel around midsession Wednesday, while October soyoil climbed 0.13 cents to 42.94 cents/pound, and October soymeal edged up $0.5 to $428.9/ton.
The wheat markets proved surprisingly weak Wednesday morning. Despite news of a sizeable wheat sale to Nigeria and a report that Iran will need to import huge amounts during the coming months, wheat futures declined significantly this morning. Concurrent corn slippage and position-squaring ahead of Thursday’s USDA reports may have undercut golden grain prices, but those seem arguments aren’t persuasive. December CBOT wheat was steady at $6.465/bushel late Wednesday morning, while December KCBT wheat slid 0.5 cent to $6.9425, whereas December MGE futures moved up 2.25 cents to $7.08.
Cattle futures posted moderate gains in early Wednesday action. Despite persistent beef weakness and growing talk of cash market slippage later this week, CME live cattle futures rose moderately this morning. Wire service reports cited strong exports for that strength. October cattle futures rallied 0.40 cents to 125.42 cents/pound as the lunch hour loomed Wednesday, while December lifted 0.27 cents to 128.92. Meanwhile, October feeder cattle jumped 1.02 cents to 158.80 cents/pound, and January surged 1.02 cents to 158.80.
The hog market suffered surprising losses Wednesday. Cash and wholesale prices have been quite firm lately, thereby pushing nearby CME swine futures significantly higher. However, growing talk of a looming end to the traditional September bounce seemed to depress the hog and pork complex today. October hog futures fell 0.47 cents to 90.37 cents/pound in late Wednesday morning action, while December sank 0.20 cents to 87.35.