Corn futures continued declining and proved vulnerable on Monday’s selloff. The declines persisted due to the ideal weather conditions that will be supportive for high yield potential, although the seeded areas were smaller than last year. However, weekly corn export inspections were huge, which curbed the sustained losses. September corn slumped 9 cents to $4.005/bushel Monday, while December declined 9.0 cents to $4.0625.

The soybean complex turned decisively lower on Monday. Soybean futures suffered a large setback led by the old crop. The promising new crop prospects also triggered large price reductions. Although there were large purchases from China this morning, the record acreage and high yield potential outweighed the market. The crop ratings were expected to come in at the best in 20 years based on the persistent good rating conditions. August soybean plunged 26.50 cents to $12.7325/bushel, and November soybean dove 8.00 cents to settle at $11.255. August soyoil lost 0.24 cents to 38.43 cents/pound, and August soymeal sagged $9.0 to $408.7/ton.

The widespread weakness in corn and soybean markets spilled over to the wheat markets. CBOT wheat futures hit the multi-year lows on technical selling on Monday. The accelerated wheat harvest activities added pressure to the wheat markets. USDA reported weekly wheat export shipments at 417,063 tonnes, in line with the pre-report expectations ranged between 350,000 tonnes and 450,000 tonnes. September CBOT wheat futures plummeted 22.75 cents to $5.5675 bushel, September KCBT wheat dropped 17.5 cents to $6.6975, and September MWE futures were down 10.75 cents at $6.6175.

Cattle futures were higher early on Monday, but gains began to fade by midday as a round of profit-taking set in. Some profit-taking is not surprising after the steep gains seen last week in conjunction with higher cash trade. The cash market was $3-$4 higher last week. Cash cattle traded mostly from $157 to $158/cwt. Beef prices were higher at midday, once again posting new highs. Choice beef reached $248.34 per cwt, 22 cents higher. August cattle futures settled 0.05 cents lower at 154.94 cents/pouond while October futures were 0.22 cents lower at 156.67. August feeder cattle closed at 38 cents higher at 218.00 cents/pound.

Hog futures were mostly higher while grain and soybean futures plunged. Strong wholesale prices powered the hog futures. The pork cutout was up $1.14 on Monday along with higher pork belly prices which jumped $5.36 per cwt. Seasonally reduced hog and pork supplies seemed unable to meet the robust demand. Weekly hog slaughter number was much lower compared to a year ago. August hog futures were up 0.500 cents at 132.100 cents/pound and December soared 1.125 to 103.975 cents.

Cotton futures moved lower in concert to the declines of many other commodities on Monday. The losses in equity index futures and strength exhibited by the US dollar exacerbated the negative sentiment. In addition, China Zhengzhou cotton futures closed sharply lower on Monday. December cotton futures dove 1.81 cents to 70.25 cents/pound Monday, while March futures tumbled 1.62 cents to 71.40.