Grains higher on Tuesday
Corn futures are trading higher this morning. Corn futures rebounded during the overnight globex trading session. There is not much fresh news surrounding the market and this could be a limiting factor for upside movement. Traders are expected to move with cautiously in lieu of the U.S. presidential elections and pre position squaring ahead of Friday’s WASDE report.
Soybean futures are posting firm gains this morning. Futures prices are posting double digit gains on bargain buying and brisk demand. Monday’s export shipments were reported as 59.4 million bushels, sharply higher than the USDA recommendations. However, futures are trading in light volume and will likely do so throughout the session due to U.S. presidential elections.
Wheat futures are trading higher this morning. Moisture depleted soils and dry weather conditions across the U.S. Plains have traders and analysts concerned about the production output of new crop winter wheat. Higher prices in the other grain markets along with the lower dollar index are supporting futures as well at this hour. Trade volume is expected to be slower than usual due to the U.S. Presidential Elections.
Live cattle futures are called to open lower this morning. Cattle futures are anticipated to open pit trade lower for the second consecutive day on spillover pressure and unsupportive fundamentals. The market is lacking direction due to unstable wholesale beef prices and undeveloped but likely lower cash trade.
Lean hog futures are called to open lower this morning. Hog futures are expected to the pit trading defensively on plentiful pork supply and lackluster demand. Cash trade is seen as steady but has potential to turn lower due adequate supplies and slashed bids by processors.
Cotton futures are trading higher this morning. Residual buying is supporting prices at this hour. There is no fundamental reason prices are up this morning. The downturn in the dollar index is also another supportive factor for futures.