Corn futures are trading 9 cents lower at midday. There are no new developments surrounding the corn market. Futures remain under pressure on harvest pressure, lackluster demand for U.S. corn as well as position squaring ahead of Friday’s stocks report. Traders are cautiously moving to the sidelines in anticipation that the 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 mixed at midday. Nearby contracts are trading slightly higher at midday on firm export demand. This morning USDA announced exports sales of 110,000 metric tonnes of soybeans to China for delivery during the current market year. USDA also noted that soybean exports last week reached a six week high of approximately 800,000 tonnes. However, position squaring ahead of tomorrow’s USDA stocks report is expected to pressure contracts throughout the session.
Wheat futures are trading 4 to 7 cents lower at midday. Wheat futures are sliding along with tumbling corn prices. Futures continue to trade in a narrow sideways pattern despite the declining dollar index. Position squaring ahead of USDA’s small grains summary is weighing on the market along with bearish weekly export sales and shipments.
Live cattle futures are trading mixed at midday. Nearby futures are firming on short covering and bargain buying after the market collapsed on Tuesday. However pressure is developing across some contracts due to today’s weak export sales data and sliding wholesale beef prices. Cash trade remains undeveloped with expectations for steady to lower prices versus the previous week.
Lean hog futures are trading higher at midday. The market is currently underpinned by the strength in the cash market 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. The trade is awaiting tomorrow’s quarterly hogs and pigs. Analysts are predicting total hogs in the U.S. to be up 0.7%, the breeding herd down 0.3% and marketings up 0.8%.