Corn futures traded lower on Wednesday. Fund selling weighed on the market as traders are turning their attention to the Crop Production and Supply/Demand reports due out next Monday. Losses were limited by strength in the stock market, weakness in the dollar and declining crop conditions ratings. USDA pegged the crop as 52% good to excellent last week, down 2 points from the previous week. December closed 7 3/4 cents lower at $7.48 and March was 7 1/2 cents lower at $7.60 3/4.
Soybean futures were mixed on Wednesday. Front end futures were pressured by technical selling and weakness in the cash market ahead of harvest. But losses were limited and deferred contracts were higher on strength in the stock market and crude oil and weakness in the dollar index. Also, USDA pegged the crop at 56% good to excellent, down 1 point from the previous week. November closed 1 3/4 cents lower at $14.20 3/4 and January ended 3/4 of a cent lower at $14.31 1/2.
Wheat futures were lower on Wednesday. The larger-than-expected supplies of Canadian wheat reported this morning and sluggish export demand weighed on futures. Egypt’s recent export business went to Russia and Kazakhstan. Further losses were limited by weakness in the dollar and continued drought in the southern Plains that is threatening HRW seeding and emergence this fall. CBOT December closed 8 1/2 cents lower at $7.51 1/2, KCBT December ended 6 1/2 cents lower at $8.59 and MGE December was 5 1/4 cents lower at $9.26 1/2.
Cattle futures closed higher on Wednesday. Ideas of firm cash trade this week helped support the futures market. There are some signs that beef prices are stabilizing as midday cutout prices were 40 to 42 cents higher. Strength in the stock market helped restore some confidence in the economy, which is a positive factor for beef demand. October ended 68 cents higher at $117.65 and December was 43 cents higher at $118.70.
Lean hog futures are higher on Wednesday. Short-covering from technically oversold conditions helped push prices strongly higher. Pork cutout values were down 77 cents on Tuesday, but ideas are that pork prices will stabilize as retailers restock meat cases following the Labor Day weekend holiday. October closed $1.50 higher at $84.85 and December was $1.15 higher at $82.40.