Corn futures settled mixed to mostly lower on Tuesday. Corn prices furthered declined as pressure from outside markets and news that Brazil raised their corn output estimates to 67.79 million tonnes up from last month’s estimates of 65.90 million. Yesterday’s USDA’s crop progress report indicated that new crop corn was 72 percent good to excellent despite recent bouts with hot dry conditions.
Soybean futures settled 7 to 13 cents higher on Tuesday. Weakness in the corn in wheat markets did not affect the today’s rally in soybean prices. Tight supplies along with news that Brazil has lowered its soybean crop estimate again due to drought damage was bullish for prices. Strength in the soyoil, soymeal, and crude oil markets underpinned the market.
Wheat futures settled 14 to 17 cents lower on Tuesday. Wheat futures tumbled as the dollar index rallied. Overall bearish market fundamentals and ongoing pressure from outside markets weighed prices down. The rapid pace of the winter wheat harvest is adversely affected futures prices, more specifically the KCBT prices.
Cattle closed lower on Tuesday. Higher wholesale beef prices were not enough to ward off pressure from outside markets. The debt fiasco across the Atlantic continues to weigh on commodity prices as well as waning beef demand. The higher dollar index was also a factor that contributed to lower cattle prices on the close.
Lean hog closed mixed to mostly higher on Tuesday. Hog futures saw slight volatility in today’s trading session. Prices were mixed at midsession; managing to muster up a price rally before the close. Higher wholesale pork prices and firm demand supported market prices. Hog prices were also lifted by steady to higher prices in the cash market.