Soybeans led the crop markets higher Wednesday

decrease font size  Resize text   increase font size       Printer-friendly version of this article Printer-friendly version of this article

Corn futures were rather mixed Wednesday morning, but turned moderately higher later in the day. Strength spilling over from the soybean pit apparently boosted the market despite a general lack of news pertinent to corn values. The winter storm working its way across the country at this point, as well as those expected next week would seem to be improving prospects for the 2013 U.S. corn crop, but that seemingly did little to deter bullish buying. March corn rose 4.25 cents to $6.995/bushel at the daily close, while December rose 2.5 cents to $5.6025.

Although they suffered a midsession setback, soybean futures finished their Wednesday session quite strongly. Trader disappointment with second-quarter Argentine production prospects in the wake of the late shift toward persistent dryness probably supported the CBOT market. Others are reportedly reacting to renewed buying from Chinese interests, and particularly to the fact that they have been purchasing old-crop U.S. beans. March soybeans settled 10.25 cents higher, at $14.805 late Wednesday morning, while March soyoil fell 0.43 cents to 52.10 cents/pound, whereas March meal surged $6.5 to $431.8/ton on the day.

After slumping early in the day, wheat futures rallied Wednesday afternoon. The weather-driven decline was rather obviously caused by the storms expected to blanket large portions of the U.S. Winter Wheat Belt over the next week or so. However, later headlines were dominated by talk of improved export buying, particularly from Egypt. Those considerations, as well as the bullish leadership provided by the soybean market apparently carried the market higher. March CBOT wheat futures climbed 6.25 cents to $7.385/bushel at their Wednesday close, while March KCBT wheat jumped 8.0 cent to $7.77, and March MGE futures climbed 5.25 cents to $8.21.

Cattle futures suffered a substantial decline Wednesday. Traders had apparently come to expect another decline in country cattle prices this week, which undercut Chicago prices trading at substantial premiums. However, country cattle reportedly began trading around unchanged levels (at 123.00 cents/pound) around midsession, which probably sparked the modest CME bounce later in the day. Bulls may also have been counting upon early-week wholesale gains to continue during the days ahead. The drop was not encouraging, but the late bounce may give bears pause. April cattle plunged 1.32 cents to 128.22 cents/pound at the Wednesday close, while August dropped 1.07 cents to 125.52. Meanwhile, March feeder cattle plummeted 2.45 cents to 140.72 cents/pound, and August fell 2.62 cents to 153.80.

Hog futures proved quite weak early Wednesday, but ended the day slightly higher. The concurrent breakdown in cattle and feeder futures almost surely weighed upon the hog/pork complex. However, the main driver of the drop probably stemmed from the threat to export demand represented by the Chinese demand for independent testing of U.S. pork. Conversely, signs of firming wholesale prices, particularly Tuesday afternoon pork loin gains, probably brought the market back later in the day. April hogs slipped 0.10 cents to 82.95 cents/pound as the CME pit session wound down, while June rose 0.37 cents to 92.5.


Buyers Guide

Doyle Equipment Manufacturing Co.
Doyle Equipment Manufacturing prides themselves as being “The King of the Rotary’s” with their Direct Drive Rotary Blend Systems. With numerous setup possibilities and sizes, ranging from a  more...
A.J. Sackett Sons & Company
Sackett Blend Towers feature the H.I.M, High Intensity Mixer, the next generation of blending and coating technology which supports Precision Fertilizer Blending®. Its unique design allows  more...
R&R Manufacturing Inc.
The R&R Minuteman Blend System is the original proven performer. Fast, precise blending with a compact foot print. Significantly lower horsepower requirement. Low inload height with large  more...
Junge Control Inc.
Junge Control Inc. creates state-of-the-art product blending and measuring solutions that allow you to totally maximize operating efficiency with amazing accuracy and repeatability, superior  more...
Yargus Manufacturing
The flagship blending system for the Layco product line is the fully automated Layco DW System™. The advanced technology of the Layco DW (Declining Weight) system results in a blending  more...
Yargus Manufacturing
The LAYCOTE™ Automated Coating System provides a new level of coating accuracy for a stand-alone coating system or for coating (impregnating) in an automated blending system. The unique  more...
John Deere
The DN345 Drawn Dry Spreader can carry more than 12 tons of fertilizer and 17.5 tons of lime. Designed to operate at field speeds up to 20 MPH with full loads and the G4 spreader uniformly  more...
Force Unlimited
The Pro-Force is a multi-purpose spreader with a wider apron and steeper sides. Our Pro-Force has the most aggressive 30” spinner on the market, and is capable of spreading higher rates of  more...
BBI Spreaders
MagnaSpread 2 & MagnaSpread 3 — With BBI’s patented multi-bin technology, these spreaders operate multiple hoppers guided by independent, variable-rate technology. These models are built on  more...


Comments (0) Leave a comment 

Name
e-Mail (required)
Location

Comment:

characters left


Vertical Floor Blenders

Waconia floor blenders provide a quality blend fast, year-after-year. Blenders are mounted on (4) load cells that provide accuracy ... Read More

View all Products in this segment

View All Buyers Guides

Feedback Form
Feedback Form