Corn futures closed higher on Wednesday. Short-covering from recent weakness helped support prices today. Concern about demand at high prices and some talk of better than expected yields in some early harvest reports have recently weighed on prices. But the projections for a smaller crop this year and a decline in ending stocks remains an underlying supportive factor. The rebound in the stock market and weakness in the dollar were also supportive factors. December ended 1 1/4 cents higher at $7.24 1/4 and March was 1 1/2 cents higher at $7.38.
Soybean futures traded lower on Wednesday. The market was pressured by technically selling, having declined six out of the past seven trading sessions. NOPA monthly crush was reported this morning at 118.8 million bushels in August, about 1 million bushels below trade expectations. Further losses were limited by concern that frost could damage some of the soybean crop in the upper Midwest over the next couple of nights. November closed 9 cents lower at $13.82 3/4 and January was 8 3/4 cents lower at $13.93 3/4.
Wheat futures were mixed on Wednesday. The CBOT traded higher on short-covering after hitting the lowest level in a month on Tuesday. Strength in corn was also a supportive factor. But the KCBT and MGE were lower on forecasts for some much needed rainfall in the HRW wheat belt. Sluggish export demand remains a bearish factor. Egypt bypassed U.S. wheat in a recent export tender. CBOT December closed 2 1/2 cents higher at $7.04 1/2 while KCBT December ended 10 1/2 cents lower at $7.92 and MGE December was 12 cents lower at $8.64 3/4.
Cattle futures closed higher on Wednesday. Strength in beef prices and expectations for firm cash trade this week supported the market. Choice cutouts were up $2.34 on Tuesday and gained another 30 cents at midday. Smaller showlists and the improved beef prices are expected to support cash trade this week. October ended $1.40 higher at $121.00 and December was $1.15 higher at $120.90.
Lean hog futures traded mixed on Wednesday. Front end contracts were supported by higher pork prices on Tuesday and the firm tone in the cash market. Ideas of strong export demand from China have helped trigger fund buying. October closed $1.30 higher at $88.45 and December was $1.03 higher at $83.85.