Corn futures closed solidly lower on Monday. Some relief to crop stress in Argentina, spillover pressure from soybeans and outside markets all weighed on corn prices. While it is late in the growing season, crop stress should be eased this week in Argentina as forecasts call for widespread rains. Dry areas of southern Brazil are forecast to get rain late in the week. Strength in the dollar index and weakness in the stock market amid renewed concern about Greek debt also weighed on commodity trade. March ended 9 3/4 cents lower at $6.32 and May was 9 3/4 cents lower at $6.37 3/4.
Soybean futures traded strongly lower on Monday. Improving crop prospects in South America weighed on futures trade. Good rains are forecast for Argentina this week and dry areas of southern Brazil are expected to get some rainfall later in the week. Additional weakness was driven by strength in the dollar index and weakness in the stock market. March closed 33 3/4 cents lower at $11.85 1/4 and May ended 33 1/2 cents lower at $11.95.
Wheat futures closed lower on Monday. Strength in the dollar index and spillover weakness from corn and soybeans weighed on the wheat markets. The dollar was higher on renewed concern about Greek debt. Bearish global supply/demand fundamentals remain and underlying factor. Wheat supplies remain abundant globally. However, further losses were limited by some concern about winterkill over the weekend in Russia and the Ukraine due to limited snow cover. CBOT March ended 3 1/2 cents lower at $6.43 3/4, KCBT March was 2 1/2 cents lower at $6.97 1/2 and MGE March fell 7 1/4 cents to $8.19.
Cattle futures closed lower on Monday. Weakness in the cash market late on Friday and declining boxed beef prices weighed on the futures market. Poor packer margins and declining beef prices on Friday and midday Monday were bearish factors. The market largely ignored the slightly supportive Cattle inventory report released Friday afternoon. The U.S. inventory of all cows and calves as of January 1 totals 90.8 million head, down 2% from a year ago. February ended 78 cents lower at $123.93 and April was 70 cents lower at $127.75.
Lean hog futures traded lower on Monday. The sharp drop in cash prices on Friday and outside markets weighed on futures trade today. The dollar index turned higher and the stock market was lower on renewed concern about Greek debt. Pork prices were mostly lower last week and until cutouts can improve, the cash market is expected to struggle. February closed 23 cents lower at $86.45 and April was 23 cents lower at $87.15.