Corn futures are trading solidly lower at midday. Renewed concerns about the global economy and the European debt problems are pressuring commodity markets. Sharp losses are being seen in the stock market and crude oil while the dollar index is higher. Further losses are being limited by declining yield and crop production ideas. Crop condition ratings could further decline in the Crop Progress report his afternoon following the hot and mostly dry weather last week. December is 12 cents lower at $7.48 and March is 11 3/4 cents lower at $7.60 1/2.
Soybean futures are sharply lower at midsession. Sharp losses in the stock market and crude oil and the increase in the dollar index have led to a broad-based sell-off in agricultural commodities. Fear of increased European debt problems are raising concerns of a slowing U.S. economy. Hot and dry weather last week further trimmed yield potential for crops in some areas, but cooler weather and some rainfall should limit crop stress this week. November is 31 1/2 cents lower at $14.14 1/4 and January is 32 cents lower at $14.13 3/4.
Wheat futures are strongly lower at midday. Weakness in the stock market amid concern about the global economy is weighing on the market. Stocks are being pressured by concern about the European debt crisis. Export demand for U.S. wheat remains sluggish. Russia, Ukraine and Kazakhstan have increased exports this year due to larger crops following the drought reduced yields last year. CBOT December is 22 1/2 cents lower at $7.53, KCBT December is 16 1/2 cents lower at $8.63 1/2 and MGE December is 16 1/4 cents lower at $9.26 1/2.
Cattle futures are trading higher at midsession on ideas of firm cash trade this week. Sharp losses in the stock market and strength in the dollar index initially weighed on futures. But optimism of strong beef demand over the Labor Day weekend and that cash trade will be firm this week helped push the market higher. October is $1.45 higher at $116.25 and December is 93 cents higher at $117.40.
Lean hog futures are sharply lower this morning. Fund long liquidation is weighing heavily on futures due to outside markets. Increasing supplies of market ready hog, rising slaughter weights and sluggish demand are all bearish factors for the cash market. Pork cutouts were 75 cents lower on Friday and cash markets are down another $1-$2 this morning. October is $2.35 lower at $83.45 and December is $2.35 lower at $80.75.
Cotton futures are trading lower at midsession. Outside market pressure is weighing on the market. Weakness in the stock market and strength in the dollar is leading to a broad-based commodity sell-off. October is 44 points lower at 106.15 cents and December is 59 points lower at 105.30 cents.