Corn futures are trading solidly lower at midsession. The market is being pressured by strength in the dollar and concerns over whether or not European leaders will agree to a deal about the current debt crisis. Strong losses in crude oil are also a bearish factor. There has been some talk recently about China buying some U.S. corn, but so far no sales have been confirmed. December is 13 cents lower at $6.37 3/4 and March is 12 cents lower at $6.50 1/4.
Soybean futures are lower at midday. Strength in the dollar index and weakness in crude oil futures are weighing on the market. Concern that European leaders will fail to agree on a euro zone debt crisis deal is a bearish factor. Harvest is wrapping up in many areas as USDA pegged progress at 80% complete as of Sunday. Weather has been favorable much of this week, although rain will slow activity in the eastern Corn Belt. November is 10 1/4 cents lower at $12.15 1/4 and January is 10 cents lower at $12.23 3/4.
Wheat futures are trading lower at midsession. With a lack of fresh news, wheat markets have turned lower on strength in the dollar and spillover weakness in corn and soybeans. There is concern about European leaders reaching an agreement on the debt crisis, which could slow global economic growth and hurt demand. Egypt’s recent export business went to Russia with none of the business going to the U.S. CBOT December is 16 cents lower at $6.20 1/4, KCBT December is 14 cents lower at $7.19 1/2 and MGE December is 8 cents lower at $9.08 1/2.
Cattle futures are trading mixed at midday. Front end contracts are being supported by the firm beef prices on Tuesday. The market is looking for mostly steady cash bids this week as improved beef prices and tight supplies of market ready cattle counter poor packer margins. Cash cattle traded last week at $120-$121. December is 5 cents higher at $122.03 while February is 33 cents lower at $124.40.
Lean hog futures are lower at midsession. Seasonally increasing hog numbers and the $2.03 decline in pork cutout prices are weighing on the market. Cash bids are generally $1-$2 lower this morning. Packer margins have improved from last week, but lower cash bids will be needed if packer margins are going to hold up given the recent decline in pork cutouts. December is 58 cents lower at $87.28 and February is 98 cents lower at $90.18.