Corn, soybeans trading lower at midday
Corn prices are trading 5 cents lower at midday. Corn futures are extending their losses into midday. Non commercial liquidation and disappointed export data are weighing on the market prices. Other factors adversely affecting the market are the rapid advancement of the 2012/13 corn harvest and the higher dollar index.
Soybean prices are trading 18 to 19 cents lower at midday. Soybean futures remain on the defensive as the higher dollar index and long liquidation stifle any upside movement in the market. Expectations for higher soybean yields coming off of a devastating drought and lack of fresh news are bearish for prices as well. Today’s export sales were within trade estimates, but provided minimal support to the market. Soybean oil and soybean meal are trading lower at midday.
Wheat futures are trading higher at midday. Wheat futures are leading the grain complex at midday, bucking pressure from the higher dollar index and declining prices in the other grain markets. Weekly export sales were neutral, falling within trade expectations, but midday price support can be attributed to technical buying and not weekly exports. CBOT is up 8 cents, KCBT is up 9 cents and MGE is up 7 cents.
Live cattle are trading lower at midday. Disappointing weekly beef exports and cash market uncertainty are placing downward pressure on live cattle contracts. USDA reported weekly exports sales 35 percent lower than the previous week at 10,900 tonnes. Concerning the cash market, traders remain encouraged that cash prices will be higher again this week, but the cash trade has yet to develop causing traders to move more cautiously.
Lean hog futures are trading mostly lower this morning. Spillover pressure from the cattle market and steadily declining pork carcass value are limiting midday market gains. However cash prices are expected to continue to encourage renewed buying interest in the hog complex.Traders are confident that the market is set for a rebound in prices.