Corn futures closed lower on Tuesday. Corn futures traded both sided of unchanged today. Prices were slightly higher overnight and into early morning trade but turned lower long liquidation and harvest pressure. The 2012 corn harvest is progressing rather rapidly. As of Sept. 23rd corn harvest was reported as 39 percent complete, up 13 percentage points from the previous week and well above the 10-year average of 14%. December corn closed 1 cent lower.
Soybean futures closed slightly higher on Tuesday. The market’s firm overnight rebound soon fizzled on harvest pressure and pre position squaring ahead of this week’s stocks and small grains reports. Currently harvest is reported as 22 percent complete, up 12 percentage points from the previous week while the average of analysts’ estimates peg quarterly stocks at 131 million bushels. November soybeans closed ¾ of a cent higher.
Wheat futures closed lower on Tuesday. Wheat futures declined across all three exchanges on pressure from several different factors. Futures were pulled lower by long liquidation and sluggish demand for U.S. wheat. Position squaring ahead of key USDA reports and forecasts for timely rains across the drought-stricken U.S. Plains was also unfavorable for prices. December wheat at CBOT closed 4 ½ cents lower; KCBT closed 2 ¼ cents lower; and MGE closed 8 ¼ cents lower.
Live cattle futures closed sharply lower on Tuesday. Expectations were for a rebound in cattle futures today, however that was not the case. Prices were met with resistance at the onset of pit trade as weakness in wholesale beef prices cash market uncertainty weighed on the market. Expectations are for a steady cash trade this week but traders are moving with caution due to poor packer margins and declining beef demand. October closed $2.60 lower while December closed $2.60 lower.
Lean hog futures closed lower on Tuesday. Today’s declines in the hog market are primarily the result of spillover pressure in the cattle complex. Cattle futures closed sharply lower today sparking selloffs in the hog market. Generally speaking, the market continues to see support from strength in the cash market and higher wholesale pork prices. October closed 23 cents lower while December closed 70 cents lower.