Corn futures are trading higher this morning. Corn futures along with the other grain markets are rebounding this morning on bargain buying. The market should see added support from weakness in the dollar index; however weak export demand and favorable growing conditions in the southern hemisphere will continue to pressure prices.
Soybean futures are trading higher this morning. Soybean futures firmed during the overnight session after futures hit a one month low on Monday due to long liquidation. Yesterday’s sharp decline in prices sparked renewed buying interest in the soy complex as traders looked to take advantage of the lower prices. Progression of the South American soybean crop still remains a bearish factor the futures prices.
Wheat futures are trading higher this morning. Wheat futures are posting marginal gains as well this morning. Futures prices are likely to follow the lead of the other grain markets with added support from weakness in the dollar index. However, lack of fresh news surrounding the wheat market could limit wheat futures from breaking its narrow trading pattern.
Live cattle futures are called to open mixed this morning. Stock markets are closed once again today due to Hurricane Sandy and will provide no direction for commodity markets. Analysts and traders remain concerned that the impact of Hurricane Sandy will dampen demand for meat products; thereby pressuring livestock futures again today.
Lean hog futures are called to open lower this morning. The remnants of Hurricane Sandy is expected the pressure livestock futures again today. Futures are expected to drift lower as traders move with caution on concerns that demand will decline due to the disruption in transporting and purchasing meat products by processors, consumers, and restaurants.
Cotton futures are trading higher this morning. There’s not much fresh news concerning the market and no fundamentally sound reasoning as to why prices are up this morning, with the exception of the lower dollar index. Prices are expected to stay within a narrow trading range as the market looks for direction.