Corn futures may be benefiting from Friday short covering. Soy complex strength had recently appeared to boost the corn market, but the yellow grain stood on its own this morning. That very likely represents technical buying and short-covering in the wake of the recent breakdown and subsequent stabilization. July corn rose 0.5 cent to $4.7725/bushel Friday morning, while December gained 1.0 cent to $4.745.

Weather may be depressing new crop soy futures. The old crop soy situation remains tight, but bulls seemed to be taking profits ahead of the long holiday weekend Friday morning. In addition, talk of very favorable soy planting weather in the Midwest apparently sent the new crop contracts lower. July soybeans slid 3.5 cents to $15.1525/bushel in late Friday morning action, while July soyoil sagged 0.15 cents to 40.71 cents/pound, and July soymeal skidded $0.7 to $500.8/ton.

Weather and export news are apparently dragging wheat markets lower. The droughty southern Plains are being blessed with much needed rainfall, which could significantly boost winter wheat harvest prospects. The resulting futures weakness is probably being exaggerated by the seeming lack of export demand for U.S. grain, due largely to the fact that foreign supplies are much more plentiful than domestic holdings. July CBOT wheat futures tumbled 7.0 cents to $6.5225/bushel shortly before midday Friday, while July KCBT wheat fell 8.75 cents to $7.43, and July MWE futures sank 8.25 cents to $7.2275.

Cattle traders expect continued cash losses. Despite recent wholesale strength, CME cattle traders are clearly looking for recent losses to persist through late spring. Seasonally increasing cattle supplies traditionally depress prices. Bulls very likely think spot values will hold up surprisingly well. June cattle dropped 0.92 cents to 136.67 cents/pound around midsession Friday, while December slumped 0.92 cents to 144.52. Meanwhile, August feeder cattle tanked by 1.65 cents to 193.72 cents/pound, and October crashed 1.87 cents to 194.62.

Cash and wholesale losses continue undercutting hog futures. After rallying strongly in response to good news Wednesday, CME lean hog futures have subsequently fallen sharply. Sustained weakness in cash and wholesale values has almost surely caused the drop, since the summer contracts are still trading at substantial premiums to spot quotes. June hog futures dove 1.00 cent to 116.60 cents/pound just before lunchtime Friday, while December dipped 0.05 to 95.00.

Texas rainfall is exacerbating technical cotton sales. Cotton futures initially spiked in response to Thursday’s bullish Export Sales report. However, the subsequent technical failure and breakdown likely spurred widespread pragmatic selling. The fact that this weekend’s rains could spur Texas production is likely exaggerating the drop. July cotton plunged 1.94 cents to 85.84 cents/pound late Friday morning, while December cotton plummeted 1.72 to 79.01.