Corn futures are called 4 to 5 cents higher. Overnight trade at 6:45 am CT was 4 to 4 3/4 cents higher. The market is finding support on further planting delay concerns in the eastern Corn Belt. However, gains are being limited by outside market weakness and the lack of fresh export demand. The dollar was stronger overnight while crude oil and Dow Jones futures were lower.
Soybean futures are called 8 to 10 cents higher. Overnight trade at 6:45 am CT was 7 3/4 to 10 cents higher. Futures are finding some support from ideas that soybean acreage and or yields could be hampered by planting delays. More rain is hitting the central and eastern Corn Belt. Outside markets could limit gains as the dollar index was higher overnight while crude oil and Dow Jones futures were lower.
Wheat futures are called 3 to 5 cents higher. Overnight trade at 6:45 am CT was 3 to 3 3/4 cents higher at the CBOT and 4 1/2 to 4 3/4 cents higher at the KCBT. Concern about poor HRW wheat yields and spring wheat planting delays are helping the market rebound from strong losses on Tuesday. In addition, drought problems in wheat growing regions in Europe are worsening. Strength in the dollar could limit gains.
Cattle futures are called higher this morning. Strength in boxed beef prices have helped packer margins improve. Choice cutouts were up another $1.63 on Tuesday after strong gains on Monday. Cash trade developed yesterday at $104, down $4 from the previous week, but there is some optimism that prices could stabilize.
Lean hog futures are called steady to higher. Short-covering from recent losses are expected to support prices. However, poor cash fundamentals and momentum are expected to limited gains. Pork cutouts were down $1.07 on Tuesday and packer margins are poor. Pork cutouts are down nearly $6 since mid-May, when cutout values were at an all-time high. Sluggish demand from wholesalers as Memorial buying has been completed will remain a bearish concern.
Cotton futures are trading higher this morning. The market is being supported by crop concerns for this year’s crop. Drought in Texas and South Georgia and flooding along the Mississippi River are expected to limit acreage and early season crop conditions. At 6:30 am CT July cotton was 250 points higher and December was 124 points higher.