Corn futures are trading mixed this morning. Corn futures are lower overnight and into the morning on forecasts for rain over the weekend. Weakness in the dollar index and higher outside markets will lend support to prices. Look for losses to be limited by strength in the cash market and tightening corn supplies.
Soybean futures are 3 to 8 cents higher this morning. Soybean futures rebounded in the overnight session. Better conditions in outside markets and the declining dollar helped to boost market prices. Demand for soybeans remain firm. Yesterday’s weekly sales for soybeans topped 1 million tonnes, of which 731,500 tonnes were purchased by China. The market remains sound fundamentally, with demand up and supply tight.
Wheat futures are trading 1/2 to 3 cents lower this morning. Wheat prices are down despite bullish export sales and improved fundamentals. Yesterday, USDA reported exports sales of 110,000 tonnes of soft red winter wheat to China for delivery in 2012/13. News that China cut its winter wheat crop estimates will lend support to the market. Australia also reduced its wheat production output earlier in the week.
Cattle futures are called to open higher this morning. Cattle futures are expected to open higher on short covering after posting sharp losses on Wednesday and Thursday. Beef prices are reported as mixed at the end of the trading session Thursday with fairly good demand. The lower dollar index should be friendly to prices today.
Lean hog futures are called to open higher this morning. Hog futures are expected to open higher as barrow and gilt supplies tighten. Weekly slaughter is anticipated to be below 2,000 head. The market will also see support from strong pork demand and continued strength in pork cutout prices. The pork cut jumped more than $2 on Thursday. Trade in the cash market is called steady to 50 cents higher
Cotton futures are trading higher this morning. Cotton futures remain higher after closing limit up on Thursday. The market continues to see support from bullish export data. USDA reported weekly export sales at 795, 700 running bales, of which 744,200 were sold to China