Corn futures are trading higher at midsession. The July contract is leading the gains on firm cash markets and weakness in the dollar index. Fund buying at the beginning of a new month and crop concerns are also supportive factors. USDA pegged progress below trade expectations at 86% complete compare the five-year average of 95%. However, gains are being limited by ideas that progress will be made in the eastern Corn Belt this week due to warmer and drier weather. July is 10 1/2 cents higher at $7.58 and December is 4 1/4 cents higher at$6.77 1/4.
Soybean futures are solidly higher at midday. Spillover strength in corn and weakness in the dollar are supportive factors for the soybean market. Planting progress remains well below normal, although forecasts call for improved planting conditions in the Midwest over the next week. USDA estimated the crop at 51% planted versus the five-year average of 71% and emergence at 27% compared to the average of 39%. July is 12 1/4 cents higher at $13.88 1/4 and November is 11 3/4 cents higher at $13.75 1/4.
Wheat futures are mixed at midsession. Winter wheat contracts are trading lower while spring wheat is slightly higher. Beneficial weather for crop development in Europe and the news yesterday that Russia will be lifting their grain export ban on July 1 are weighing on the market. However, the MGE is being supported by planting delays. USDA reported the crop at only 68% planted compared to the five-year average of 95%. Spring wheat emergence at 40% is less than half of the normal 81% for this date. CBOT July is 14 cents lower at $7.68 1/4, KCBT July is 7 cents lower at $9.01 while MGE July is 1 3/4 cents higher at $10.26 3/4.
Cattle futures are trading strongly lower at midday. The market had rallied recently on ideas of improving demand as summer grilling season kicks in. But a bearish jobs report and weakness in the stock market raised new concern this morning. Packer margins are strong, but market ready supplies are also larger. Showlists this week are up about 4% compared to a week-ago. Cash trade was expected to be up $1-$2 this week, but light trade developed in Texas at $104, steady with the previous week. June is $1.35 lower at $102.40 and August is $1.60 lower at $103.78.
Lean hog futures are lower at midsession. Weakness in the stock market, poor packer margins and spillover pressure from cattle are weighing on futures. The market is waiting for reports about Memorial Day weekend pork clearance. But pork prices will need to improve some just to get packer margins out of the red. Cash prices were mostly steady today as most packers have needs covered for the week. June is 43 cents lower at $89.75 and June is 63 cents lower at $89.30.
Cotton futures are trading mixed at midday. Old-crop is higher on fund buying. But profit-taking is weighing on the December contract despite continued concerns about drought in Texas. Planting progress is near normal. USDA reported the crop at 73% planted versus the five-year average of 76%. July is 242 points higher at 161.09 cents while December is 51 points lower at 134.99 cents.