Corn futures settled 10 to 17 cents higher on Wednesday. Prices remain firm as the dollar index weakens, making exports more appealing to buyers. The July contract soared 17 cents due to tightening old crop stocks. Weather forecasts going into the next few weeks for new crop corn are still a concern for market prices as forecasts are calling for dry conditions across the U.S. Midwest.
Soybean futures settled trading 18 to 34 cents higher on Wednesday. The soybean market posted moderate gains as concerns about the EU debt crisis eased and the dollar declined. Protests in Argentina and dwindling supplies in Brazil boosted market prices as well. Prices continued to soar as China purchased another round of U.S. soybeans (120,000 tonnes) to compliment Monday’s purchase. Traders continue to follow weather forecasts as conditions are expected to remain dry for key production regions.
Wheat futures settled 5 to 15 cents higher on Wednesday. The possibility of a solution to the debt crisis in the EU bolstered commodity prices. Wheat futures closed higher regaining some of the prior day’s losses. Trade in KCBT closed strong despite the quick progression of the winter wheat harvest. USDA reported harvest at 20 percent complete on Monday. Expectations of plentiful global wheat stocks are expected to keep prices in check, but had a minimal effect on prices today.
Cattle futures closed mixed on Wednesday. The cattle market up-swing at midday was short lived as prices closed the day mixed. The market did see support as outside market pressure eased and the dollar index declined. Prices saw resistance as beef demand waned and box beef prices at midday were reported as mixed. Trade in the cash market has been quiet but is expected to pick up late in the week. Cash prices are expected to be steady.
Lean hog futures closed higher on Wednesday. Higher prices in the cash market for the second consecutive day lifted hog futures. Spillover support from higher corn prices was friendly for prices. The market was also supported by the lower dollar index and renewed interest in commodity markets by investors.