Corn futures are trading lower at midday. Activity is light as there is little fresh news in the market. Selling ahead of the weekend is pushing prices lower. Favorable rains in the U.S. Midwest are expected to bring cooler temperatures the next few days, which will be a relief for the crops. Thursday’s disappointing export sales report adds to the weak tone. September is 16 1/4 cents lower at $6.66 and December is 17 1/4 cents lower at $6.69.
Soybean futures are trading lower at midsession. Slow export demand and essentially no increase in total commitments for old crop in Thursday’s export sales report is weighing on the market. Shipments were disappointing, and will have to pick up if we are going to get to the USDA export forecast by the end of next month. Weather forecasts will take on increasing importance as we move into August. Hot and dry weather in August could get soybean futures to move out of the sideways trading that has been in pace for the last several weeks. August is 15 1/2 cents lower at $13.52 1/4 and November is 17 cents lower at $13.54 1/2.
Wheat futures are trading lower at midday. Negative sentiment is ringing through the market on news that Egypt is again looking to buy some wheat from Russia rather than the U.S. Traders are also getting out of the market until they have a better idea of how the debt ceiling stalemate will affect the economy. Losses in the stock market are lending weakness as well. CBOT Sep is 14 cents lower at $6.79 1/4, KCBT Sep is 13 1/4 cents lower at $7.70 1/4 and MGE is 9 3/4 cents lower at $8.37.
Cattle futures are trading lower at midday. Futures are weak as traders are uneasy amid the stall on how to remedy the debt ceiling problem. Month-end profit taking is adding pressure as traders close out positions. Talk of cash trade developing at steady to higher prices is limiting losses this morning. August is 18 cents lower at $111.45 and October is 5 cents lower at $116.10.
Hog futures are trading lower at midsession. Prices are down despite supportive market factors, with uncertainty over how the debt crisis will be handled pressuring prices. Hog weights are improving as temperatures cool a bit. The pork cutout values continue to set record highs, with a gain of $1.84 on Thursday to $104.18 per cwt. This is only the 2nd time in history that prices have been over $100. The strong pork prices are pulling cash hog prices up as well. August is 3 cents lower at $102.45 and October is 20 cents lower at $92.25.