Corn futures closed sharply lower again on Friday. Follow-through selling from Thursday and continued fund long liquidation weighed on the market. The September contract was down the extended 45 cent limit at times, but closed just off the low. Rumors of export business were confirmed by USDA and China is believed to be the destination, helping to limit further losses in the deferred contracts. The larger-than-expected acreage number, the quarterly stocks number that was well above pre-report trade estimates and generally favorable crop weather were bearish factors today. September was 41 1/4 cents lower at $6.06 3/4 and December ended 23 3/4 cents lower at $5.96 3/4.

Soybean futures traded higher on Friday. The market was supported by a short-covering rally following Thursday’s decline despite further weakness in corn today. USDA’s acreage numberon Thursday was supportive as the 75.2 million acre estimate was well below trade expectations. Weather conditions are currently favorable for most of the crop, but weather uncertainty remains for the critical time frame for soybeans in August. August ended 13 1/4 cents higher at $13.12 3/4 and November was 18 1/2 cents higher at $13.12 1/2.

Wheat futures were mixed on Friday. The CBOT closed slightly lower on spillover pressure from corn, but the KCBT and MGE are higher on a short-covering bounce ahead of the extended holiday weekend. Ideas that USDA could cut spring wheat acreage from the recent estimate were supportive as USDA will resurvey several states for acreage. CBOT September closed 2 cents lower at $6.12 1/4, KCBT September was 13 1/2 cents higher at $7.20 3/4 and MGE September ended 9 1/2 cents higher at $8.04 1/2.

Cattle futures closed sharply higher on Friday. Trade volume was light ahead of the extended holiday weekend, but futures were supported by steady cash trade and strength in the stock market. Deferred contracts were also able to rally despite further weakness in corn today. August closed $1.98 higher at $112.80 and October was $2.48 lower at $119.68.

Lean hog futures were higher on Friday. The discount of futures to cash and short-covering from the losses yesterday supported futures despite further weakness in the corn market. Talk circulated that cash trade could be higher next week. Trade volume was light on pre-holiday weekend positions. August closed $1.48 higher at $93.15 and October was 55 cents higher at $86.78.