Corn futures are trading lower at midday. The market is being pressured by renewed concern about the global economy and the debt crisis in Europe. Sharp losses in the stock market and crude oil and strength in the dollar are weighing on prices. Warm and dry weather has sparked some weather concern as the corn crop moves into pollination. While forecast still call for some hot and dry conditions, a prolonged period of unfavorable weather is not expected. September is 5 1/4 cents lower at $6.37 and December is 6 1/4 cents lower at $6.30 3/4.
Soybean futures are higher at midsession. The market remains in its recent range as traders gear up for the Supply/Demand report due out Tuesday morning. But gains are being limited by sharp gains in the dollar and weakness in the stock market and crude oil. USDA will update crop condition ratings this afternoon. Traders are looking for them to be near unchanged from last week as most crops had plenty of moisture to withstand the recent hot and dry weather. August is 2 cents higher at $13.48 3/4 and November is 3 1/2 cents higher at $13.50.
Wheat futures are strongly lower at midday. Global economic concerns are leading to a sharp rally in the U.S. dollar, which is a bearish factor for the U.S. export market. Increased competition from Russia has already weighed heavily on the market as they lifted their ban on export sales on July 1. The market is sharply lower despite ideas that USDA will estimate the spring wheat crop around only 550 million bushels on Tuesday morning, which would be the smallest crop in three years. CBOT September is 14 3/4 cents lower at $6.36 1/2, KCBT Sep is 18 cents lower at $7.09 1/4 and MGE Sep is 21 cents lower at $7.96.
Cattle futures are trading mixed at midsession. Front end contracts are higher on strength in the cash market late last week and on spillover support from hogs. Cash trade was $2-$3 higher on a live basis on Friday and $5-$6 higher dressed in the North. But deeper deferred contracts are mostly lower amid strong losses in the stock market and strength in the dollar index. August is 58 cents higher at $115.23 and October is 83 cents higher at $121.03.
Lean hog futures are sharply higher at midday. The market has shot higher on new talk of pork sales to China for delivery this fall. Talk of increased business to China has supported futures for some time, but recent talk indicates there has been recent sales to China. Some limit gains are being noted despite sharp losses in the stock market and strong gains in the dollar index. August is $3 higher at $99.18 and October is $3 higher at $92.75.