Corn futures are trading 6 to 14 cents lower at midday. New crop prices have improved from morning levels but are still trading lower. Prices dipped as parts of the western Corn Belt received much needed rains the boost soil moisture levels, however forecasts across the eastern Corn Belt still remains relatively dry. Weakness in the outside markets and the higher dollar index are pressuring prices. Weekly corn export sales were pegged at 171,400 metric tonnes, below estimates between 450,000-650,000 metric tonnes.
Soybean futures are trading mixed at midday. The market is trading choppy midmorning. Soybean futures plummeted at the start of evening trade after the Federal Reserve Chairman Bernanke announced measures to stimulate the U.S. economy. Lower outside markets and a higher dollar index are weighing on prices as well. New crop contracts are down on forecasts for rain across the Midwest. Weekly export sales were reported as 608,000 metric tonnes were below analysts’ estimates between 700,000 – 950,000 metric tonnes.
Wheat futures are trading mixed at midday. The wheat market is bucking off pressure from lower outside markets and a higher dollar index at midday. Futures at both CBOT and KCBT are trading aout 7 cents higher. The market is trading higher on weather uncertainty across the Atlantic in Russia and China as dry conditions plague wheat crops. Weekly exports sales were bullish for wheat and were well above expectations at 842,000 metric tonnes.
Cattle futures are trading lower at midday. Cattle futures are trading lower ahead of Friday’s Cattle on Feed Report. The report is expected to show May placements 13 percent higher than the previous year. Weekly export sales totaled 15,000 metric tonnes, down 5 percent from the previous week and 12 percent from the 4 week average. Cash trade is remains quiet, but traders expect the trade to pick up Friday with cash prices steady to lower.
Lean hogs are trading higher at midday. Hog futures are trading higher at midday on steady fundamentals despite a lower pork cutout value. The market is supported by tight supplies and declining hog weights. Wednesday hog slaughter was reported down 1,000 head from the previous week and 7,000 head below year ago levels. Trade in the cash market is reported 50 cents to $1 higher due to tight supplies.