Corn futures are trading 5 to 6 cents higher early morning. Corn prices rally as Hurricane Isaac reached landfall (Louisiana), bringing strong winds and heavy rains across the Southeast, Plains, and portions of the Midwest. As a result of the storm, traders anticipate more damage to an already battered corn crop and the potential for flooding.
Soybean futures are trading 5 to 6 cents higher early morning. Soybean futures posted double gains across the board overnight supported by follow through buying and concern that new crop soybeans will see further damage as Hurricane Isaac brings damaging winds and flood potential to the southeastern U.S. Firm export demand is also supporting market prices this morning.
Wheat futures are trading 10 cents higher early morning. Spillover strength in the corn and soybean markets is helping to pull the wheat futures higher this morning. The market is being strengthened as more speculative news circulates concerning the Russian and Australian wheat production. However, prices my experience slight resistance as Isaac sends heavy rains across the winter wheat belt.
Live cattle futures are called to open higher this morning. The market is anticipated to open higher on follow through buying expectations for higher cash prices. Traders expect movement in the cash market to pick up ahead of the three day weekend. However, weakness in wholesale beef may limit early morning gains.
Lean hogs are called to open lower this morning. Traders anticipate weakness in the market to continue as long as pork slaughter and pork supply remain on the rise. In regards to the cash market, prices are anticipated to start the day as much as $1 lower due to lower steadily declining bids by packers.
Cotton futures are trading higher this morning. Cotton futures are also trading higher on concern that heavy rains and forceful winds will potentially damage southern cotton crops, especially crops located in Mississippi, Alabama, and Louisiana.