Corn futures were under considerable pressure early Wednesday morning, apparently due to a continuation of the Tuesday decline. However, bears proved unable to sustain the downward pressure, since nearby futures had climbed back toward unchanged levels as midday approached. The potential for persistent planting delays seemingly powered the rebound. July corn was trading just 0.5 cents lower at $6.495/bushel late Wednesday morning, while December had slipped 4.75 cents to $5.52.
Soybean futures remained under strong downward pressure as lunchtime approached Wednesday. The drop was reportedly powered by the weak manufacturing report that emerged from China overnight, as well as the generally bearish commodity environment dominating early trading. The potential for major shifting of Corn Belt acreage from corn to beans may also be weighing upon the legume complex. July soybean futures plunged 23.75 cents to $13.7525/bushel late Wednesday morning, while July soyoil dove 0.60 cents to 48.53 cents/pound and July soybean meal dropped $7.3 to $406.9/ton.
Wheat fell in concert with most commodities in early Wednesday trading, but late rebounded moderately in tandem with the corn market. Trader surprise that wheat tour results for northeast Kansas matched the five-year average may have weighed upon prices early, whereas talk of more frost over the next two nights and preliminary reports from western Kansas may have brought wheat futures back. July CBOT wheat futures had dipped 4.25 cents to $7.2675/bushel around midsession Wednesday, while July KCBT wheat had risen 0.25 cents to $7.8975 and July MGE futures lost 1.0 cents to $8.21.
Cattle futures rose early Wednesday in response to the wholesale strength depicted by the Tuesday afternoon cutout report. The CME gains then accelerated when the noon beef quotes were published late Wednesday morning. For example, choice cutout jumped 2.51 cents to 198.90 cents/pound, which is very close to the highs posted last year (although well below record 2003 highs). June cattle jumped 1.00 cents to 122.90 cents/pound by late Wednesday morning, while December gained 0.67 cents to 128.02. August feeder cattle futures surged 0.55 cents to 149.45 cents/pound, while November advanced 0.55 cents to 153.75.
CME lean hog followed through modestly upon their strong Tuesday gains this morning, but the big wholesale decline posted late Tuesday afternoon probably limited bullish efforts. However, the midday pork report implied that the wholesale market had quickly rebounded from its Tuesday drop, which may bode well for afternoon trading. June hog futures climbed 0.27 cents to 92.85 cents/pound just before lunch time Wednesday, whereas December futures skidded 0.20 cents to 78.70.