Corn futures closed solidly higher on Tuesday. Short-covering from one-month lows set on Monday and spillover buying from soybeans helped push corn futures higher. Late buying interest helped push prices to near the highs of the day at the close. Strength in the dollar held back futures some of the day, but the rebound in the stock market and firm crude oil prices helped trigger the late session rally. Dec ended 11 3/4 cents higher at $6.45 1/4 and March was 11 1/4 cents higher at $6.54 1/2.
Soybean futures traded strongly higher on Tuesday. The market has rallied the past three trading sessions. Unconfirmed rumors that China is in the market for U.S. soybeans have helped the market rally from one-month lows set last week. The market was able to rally despite strength in the dollar index. January closed 22 cents higher at $12.00 1/4 and March was 21 1/2 cents higher at $12.10 1/4.
Wheat futures were higher on Tuesday. Gains were driven by short-covering from technically oversold levels at the CBOT and on late session support from corn. USDA reported the winter wheat crop at 84% emerged, down from the five-year average of 91%. The winter wheat crop is rated 50% good-to-excellent. CBOT December closed 17 cents higher at $6.32 3/4, KCBT December was 13 cents higher at $7.05 and MGE December ended 3 3/4 cents higher at $9.31 1/4.
Cattle futures closed strongly higher on Tuesday. Futures were supported by short-covering and strength in boxed beef prices. Packers slowed chain speeds last week and the resulting limited supplies of beef have helped push beef prices higher. Choice cutouts were up $1.38 on Monday and another $1.21 at midday Tuesday while select cuts were up $2.38 on Monday and another $1.44 at midsession Tuesday. December ended $1.63 higher at $121.73 and February was $1.83 higher at $124.05.
Lean hog futures were mostly higher on Tuesday. The spot December contract was lower due to the weak tone in the cash market and lower pork cutout prices. But deferreds contracts were solidly higher. Strength in beef prices and reports that China is continuing to buy U.S. pork were supportive factors. December closed 13 cents lower at $86.45 while February ended 90 cents higher at $89.80.