Corn futures are trading slightly lower at midday. Corn prices remain below unchanged although above the session low of $7.46. Tumbling wheat and soybean prices continue to limit any upside movement along with harvest pressure. USDA reports corn harvest at 54 percent complete, up 15 percentage points from the previous week. Outside market pressures are also weighing on commodities.
Soybean futures are trading 18 cents lower at midday. The bullish momentum of the market is beginning to wane and soybean futures are tumbling. The record pace of this year’s soybean harvest and expectations for a record crop in South America are pressuring prices and sparking rounds of sell offs in the market. However, lower futures prices could potentially encourage bargain buying by importers.
Wheat futures are trading 13 to 16 cents lower at midday. More forecasts for rain across the U.S. plains states are pulling wheat futures lower across all exchanges, especially at KCBT. These timely rains are expected to increase soil moisture levels and boost plantings. Also, instability in the other grains markets will keep prices on the defensive throughout the session.
Live cattle futures are trading higher at midday. Cattle futures are drawing strength on follow through buying and renewed interest by speculators. Cattle futures were expected to see some pressure from profit taking due to poor fundamentals and concern that the market would not be able to sustain Monday’s gain. October is trading 33 cents higher while December is trading 8 cents higher.
Lean hog futures are trading higher at midday. Nearby contracts are posting sharp gains, almost $1 higher on follow buying and firm fundamentals. Cash market strength and improved demand for pork products are expected to underpin the market. However, the recent downturn in the corn market may add slight pressure to deferred contracts. October is trading 93 cents higher while December is trading 98 cents higher.