Corn futures are trading higher at midsession. The market is being supported by weakness in the dollar index and strength in the stock market amid optimism over the European debt situation and the U.S. weekly jobless report coming in at the lowest level in nearly four years. Concern about the lowered corn production potential in Argentina is also supportive. Some rain is forecast for Argentina this weekend and later next week, but it will be too late to help the corn crop much. March is trading 6 cents higher at $5.99 1/2 and May is 6 cents higher at $6.06 1/4.
Soybean futures are trading solidly higher at midday. Reports of fresh demand from China of 10 to 12 cargoes of U.S. soybeans are supporting the market. Weakness in the dollar and strength in the stock market are also contributing to the rally. Further gains are being limited by forecasts for some much needed rainfall in Argentina this weekend that should help ease crop stress. March is 9 cents higher at $11.92 1/4 and May is 7 3/4 cents higher at $12.00.
Wheat futures are mixed at midsession. The markets are trading mixed this morning with weakness in the dollar index and some spillover support from corn providing support. However, gains are being limited and some contracts are lower amid sluggish export demand and ample global wheat supplies. The International Grains Council has raised its forecast for global wheat production to a record 690 million tonnes, up 7 million tonnes from its previous forecast. CBOT March is 5 cents higher at $5.97 1/4, KCBT March is 3/4 of a cent lower at $6.52 1/4 and MGE March is 1 1/2 cents higher at $8.02 1/4.
Cattle futures are trading higher at midsession. The market is being supported by short-covering and outside market support. Strength in the stock market and the smallest weekly jobless claims in nearly four-years are positive factors for beef demand. Gains in cattle futures are also being attributed to positioning ahead of the Cattle on Feed report. February is 78 cents higher at $124.00 and April is $1.05 higher at $127.70.
Lean hog futures are mixed at midday. The market is choppy as bullish momentum is being countered by profit-taking. Futures have been rising as pork prices have turned higher and cash markets have been working higher as well. Tightening supplies of market ready hogs has encouraged packers to raise bids despite poor processing margins. February is 53 cents lower at $85.70 and April is 8 cents higher at $88.00.