Corn futures settled 11 to 16 cents higher on Monday. Corn prices jumped on renewed weather concerns and the lower dollar index. Concerns that recent dryness across the U.S. Corn Belt potentially damaged the emerging crop due to heat stress underpinned the market. Traders are anticipating a bullish crop progress report for corn as ratings are expected to decline from the previous week.
Soybean futures settled mixed on Monday. Soybean futures lost momentum after a strong rally in prices in early morning trade. The market continued to be weighed down by the negative economic situation in China. However, there were reported export sales of 165,000 tonnes of U.S. soybeans to China for delivery in 2012/13. Weakness in the dollar index and dry weather forecasts over the next 7 to 10 days lifted deferred contracts.
Wheat futures settled 5 to 14 cents higher on Monday. Wheat futures bounced back with a strong showing during the trading session thanks to the sliding dollar index and short covering in the market. CBOT prices were up 11 to 13 cents, KCBT up 14 cents, and 4 to 5 cents at MGE. Spillover support from corn market also helped to boost wheat prices. Today's crop progress report is expected to bullish for wheat.
Cattle futures closed higher on Monday. Choppy trade describes the cattle market through today’s trading session. Futures prices traded mixed at midday but rallied to finish higher on the close. Prices saw added support from cash market premiums. Beef packer margins were positive and trade in the cash cattle market was steady to $1 higher.
Lean hog futures closed mixed on Monday. The market was initially supported by last week’s higher wholesale pork and cash prices. Outside market pressure weighed on prices, causing a slight decline in the nearby contracts. Mixed prices in the cash market added light pressure to prices as well.