Corn futures are trading 4 cents lower this morning. Corn futures are once again on the defensive this morning as the traders cautiously move to the sidelines ahead of tomorrow’s stocks and smalls grains report. This report is could show corn and soybean stocks at and eight year low. The average of trade estimates is pegged at 1.113 billion bushels, down from 1.128 billion bushels a year ago.
Soybean futures are trading 12 cents lower this morning. Soybean futures firmed overnight, closing in on the $16 mark after significant losses over the past two trading sessions. As with the other grain commodities, selling pressure this week has been tied primarily to position squaring ahead of USDA’s stock and small grains report. The average of trade estimates pegs soybean stocks at 131 million bushels.
Wheat futures are trading 1 to 2 cents lower this morning. Wheat futures are stuck in a narrow trading pattern between 2 to 3 cents below unchanged. The dollar index is lower but the market is expected to play follower again to the other grain markets. However, expectations for bullish export shipments should provide the market with an extra boost.
Live cattle futures are called to open higher this morning. The cattle market is expected to rebound this morning on short covering after two pretty rough trading sessions. Analyst perceptions are that recent market losses were overdone and trades will scramble to recover their positions. Cash trade remains undeveloped with expectations for steady to lower prices versus the previous week.
Lean hog futures are called to open higher this morning. Futures are expected to open on the offensive supported by short covering and futures premium to cash. The fundamentals of the market are also supportive and traders remain optimistic that cash prices will continue to exhibit strength.
Cotton futures are trading lower this morning. Cotton futures continue to move lower during morning trade. The market is being pressured by non commercial liquidation and the December contract fell below 71 cents for the first time since early August. Traders anticipate prices to fall at or near June lows on pressure from overwhelming large ending stocks.