Corn futures were lower on Friday morning. The negative implication from the concurrent U.S. dollar gains weighed on the corn market. In addition, recent ideal growing weather held broad prospects of a record harvest, which generated a bearish signal to the market. However, good performance of equity markets may have some positive influence. September corn futures fell 3 cents to $4.845/bushel while December futures edged 2 cents lower to $4.65/bushel.
The soy complex moved general higher in overnight trading. Although beneficial U.S. crop weather forecasts reinforced traders’ prospects of a big harvest, the supply tightness powered soybeans and the meal market higher. In the news, Asian palm oil closed slightly lower despite recent higher export demand. September soybean futures lost 0.25 cents to $12.34/bushel in early Friday trading, and November soybean prices rose 3.25 cents to $11.9575/bushel .September soyoil climbed 0.13 cents to 42.73 cents/pound, and September soybean meal gained $2.8 to $400.5/ton.
Wheat futures started a mixed note on Friday. The appreciation of U.S. dollar probably played a role in the weakness of wheat value. The weekly export sales reported seemingly did have too much impact to the market. However, the strong global demand for U.S supplies supported the market. September CBOT wheat dropped 0.75 cents to $6.8825/bushel, while September KCBT wheat was unchanged at $7.0675, and September MGE futures edged 1.25 cent higher to $7.4325.
Live cattle futures traded slightly higher in overnight with most contracts nearly unchanged. The October contract edged up 3 cents this morning to $124.53. The futures market is being affected by follow through selling and the charts turned negative with the lower closes on Thursday. Feeder cattle futures were mixed overnight, with the October contract up a little but deferred contracts down 40 to 60 cents A few cattle traded in the cash market on Thursday for $119, essentially unchanged from last week. However, most of the cash cattle trade is expected to occur on Friday.
Lean hog futures posted modest gains in overnight trade. The October contract was up 20 cents early this morning at $84.10. Cash prices rose on Thursday, up $1.19 to $96.53. Pork demand is strong and the slaughter so far this week is 2.8 percent below year ago levels due to some plant closures early in the week. The pork cutout remains strong, rising to $102.52 on Thursday. Pig prices have turned higher which is counter-seasonal at this time of year. The data suggests that producers may be taking some early expansion steps. With corn prices continuing to fall, hog production profits look good for this fall and into 2014.