Corn futures are trading 20 cents lower at midday. Commodity markets are tumbling as the euro zone debt crisis pushes the dollar index higher and investors sell off risky assets. Harvest pressure continues to weigh on the market along with slowing demand for U.S. corn. Lastly, pre positioning ahead of USDA’s stocks report is also adversely affecting the market. The average of trade estimates is pegged at 1.113 billion bushels.
Soybean futures are trading 44 cents lower at midday. Although, USDA announced an export sale of 140,000 tonnes of soybean to an undisclosed location prices have yet to stabilize. Prices are currently trading their lowest in over three months. The EU debt crisis has sent global and outside markets spiraling downward as investors rid their portfolios of risking assets. Harvest pressure and position squaring ahead of a key USDA stocks report is also weighing on prices. Soyoil and soymeal markets are also feeling the pressure of moderate declines in the soybean market. Soyoil is trading $1.44 lower while soymeal is down $12 to $13.
Wheat futures are trading 15 to 17 cents lower at midday. Wheat futures are following the other markets lower on outside market pressure. Once again, news surrounding the EU debt crisis pushed the dollar index higher sparking sell offs across the risky assets and commodities. Speculative chatter continues to circulate surrounding the Russian and Australian wheat crops, however it appears today’s surge in the dollar index is the dominant force driving the market prices.
Live cattle futures are trading mostly lower at midday. The market was off to a firm start on short covering after a dismal day of trading on Tuesday. But the steep selloff across commodities due to global economic uncertainty and euro zone debt worries have spilled over into the livestock markets. Declining wholesale beef prices and cash trade uncertainty are pressuring the prices as well.
Lean hog futures are trading mostly lower at midday. Hog futures are under pressure at midday on dismal macro economic factors. Outside markets are tumbling as investors sell off their risky assets and seek security in the dollar index. Fundamentally, the market is firming and strength in the cash market should continue to under pin prices. However, sharp declines in the cattle complex and commodities in general could pull hog futures lower.