Less favorable weather forecasts boosted corn futures Monday morning. The corn market had recently declined in response to very favorable mid-July weather forecasts for the Corn Belt, but the latest predictions were hotter and drier than those posted late last week. That shift apparently sparked renewed bullishness in the CBOT pit, despite the disappointing result (at 8.205 million bushels) on the weekly Export Inspections report. September corn futures rose 6.25 cents to 5.32/bushel in Monday morning trading, while December added 7.25 cents to $4.985.
Soybeans and meal once again outperformed the oil market again Monday morning. Ongoing old crop tightness seemingly boosted bean and meal prices once again, whereas its position on the wrong side of the crush equation and Asian vegetable oil weakness apparently weighed upon soybean oil values. The weekly Export Inspections figure (at 2.463 million bushels) was not particularly supportive. August soybean futures surged 7.25 cents to $14.3925/bushel around midsession Monday, but August soybean oil slid 0.18 cents to 46.96 cents/pound; August soymeal gained $5.5 to $434.1/ton.
Wheat rallied in response to trade news in early Monday trading. The USDA announced this morning that private exporters had sold 840,000 tonnes of wheat to China in recent days. Moreover, the stated result on the weekly Export Inspections report, at 25.589 million bushels, topped forecasts. On the other hand, improved prospects for the spring wheat crop seemed to weigh upon the Minneapolis market. September CBOT wheat rallied 4.25 cents to $6.6425/bushel Monday morning, while September KCBT wheat climbed 5.5 cents to $6.9125, whereas September MGE futures inched up 0.25 cent to $7.6375.
Cattle futures were mixed Monday morning, which probably reflected mixed cash market indications. Wholesale beef prices fell rather sharply last Friday, which may presage weak summer demand. Otherwise traders are very aware of the tendency for cash strength after summer lows are reached, but an immediate rebound is not at all assured. August cattle lifted 0.40 cents to 122.35 cents/pound just before midday Monday, while December rose 0.07 cents to 128.17. Feeder futures seemingly rose on bullish seasonal hopes, particularly on forecasts for large corn supplies later this year; the August contract ascended 0.40 cents to 152.20 cents/pound, and November climbed 0.42 cents to 157.20.
Hog futures turned sharply lower Monday morning. The Friday afternoon wholesale report, which completely reversed midday pork gains, almost surely undermined the market. Traders very likely worry that the whole hog and pork complex is doomed to much more of the same during a traditional summer decline. August hog futures dove 1.55 cents to 96.20 cents/pound around midsession Monday, while the December contract dropped 1.17 to 80.87.