Corn futures were solidly lower on Monday. The market was pressured by profit-taking after the rally to a four-month high in overnight trade. Also weighing on futures were the prospects for an early corn planting season due to unseasonably warm weather in the Midwest. Forecasts out a week to ten days continue to call for warm weather with not talk of any threatening cold temperatures. May closed 9 1/2 cents lower at $6.63 1/2 and December is 4 cents lower at $5.70 1/4.
Soybean futures traded lower on Monday. Profit-taking weighed on the market following the rally to six-month highs. The market was technically overbought and due for a setback. Losses were limited by news that Argentina’s grain truckers are striking indefinitely to demand higher pay. However, this is hardly newsworthy as it happens almost every year. May closed 7 1/2 cents lower at $13.66 1/2 and November was 2 3/4 cents lower at $13.25 1/2.
Wheat futures were strongly lower on Monday. Profit-taking and the outlook for crop friendly weather pressured the market. Warm weather and rainfall in the Plains and Midwest should help the growth of the winter wheat crop. There are forecasts for some cool weather in western Kansas and eastern Colorado this week, but the wheat isn’t far enough along to cause any damage. CBOT May ended 19 3/4 cents lower at $6.52 1/4, KCBT May was 14 cents lower at $6.91 1/2 and MGE May closed 15 3/4 cents lower at $8.07.
Cattle futures closed lower on Monday. The market was pressured by building concern about building beef supplies and concern about beef demand. Boxed beef prices have been working lower and packer processing margins are poor. Traders are looking for demand to begin improving seasonally soon, but it will take significant improvement to pull packer margins out of the red. April ended 13 cents lower at $125.18 and June was 55 cents lower at $122.15.
Lean hog futures were mixed on Monday. The market was choppy today and futures trade was near unchanged. Light speculative buying was seen in the April contract due to the discount to the CME lean hog index. Short-covering after recent losses were supportive for most deferred contracts, although June was pressured by concern about sluggish pork demand. April closed 15 cents higher at $86.03 while June was 20 cents lower at $93.40.