Corn futures are solidly lower at midday. The fund long liquidation sell-off is continuing today amid a broad-based commodity sell-off. A rally in the dollar and short losses in the stock market and crude oil are bearish factors for corn. Technically, the corn market is looking weak. However, uncertainty about summer weather and corn acreage remains underlying supportive factors that have helped corn bounce from session lows. July is 16 3/4 cents lower at $6.60 3/4 and December is 16 cents lower at $6.34 1/4.
Soybean futures are trading lower at midsession. Futures are being pressured by weakness in financial markets that have led to a sell-off across commodity markets. The dollar is sharply higher and the stock market and crude oil are sharply lower at midsession. The weekly export sales report showed net cancellations for the current marketing year as China and an “unknown destination” canceled some sales previously on the books. July is 16 3/4 cents lower at $13.13 1/2 and November is 19 1/2 cents lower at $13.13.
Wheat futures are sharply lower at midday. Spillover pressure from corn and outside markets are weighing on wheat prices. Fund long liquidation continues to pressure trade as the dollar index is up sharply while the stock market is strongly lower. Statistics Canada reported this morning that farmers planted 23.6 million acres of wheat, which exceeded trade expectations. However, the survey was taken the last week of March and actual wheat acreage is expected to fall short of that level. CBOT July is 15 1/4 cents lower at $6.23, KCBT July is 20 1/2 cents lower at $7.49 1/2 and MGE July is 23 3/4 cents lower at $8.36 3/4.
Cattle futures are trading lower at midsession. Strength in the dollar and concerns about the economies in Europe and the U.S. helped trigger the losses. Cash fundamentals remain supportive, although the sell-off in futures could weigh on cash trade. Ideas earlier in the week were for cash trade to be $1-$2 higher. Boxed beef prices have been strong recently. June is 63 cents lower at $110.65 and August is 75 cents lower at $110.95.
Lean hog futures are trading lower at midday. The larger-than-expected jobless claims report this morning has led to a broad-based sell-off in commodity markets. Export demand has been supportive for the hog market recently, so strength in the dollar is a more dominant bearish factor. In addition there is concern about the U.S. economy and domestic demand. The Cold Storage report on Wednesday afternoon showed more pork in storage than the trade was expecting. July is 78 cents lower at $97.50 and August is 98 cents lower at $96.35.