Corn futures traded higher on Tuesday. Outside markets were supportive on some continued optimism that European leaders will come to an agreement to deal with the euro-zone debt crisis. The stock market was higher and the dollar index lower today. The recent break in prices is expected to boost export demand although there has been little confirmation of that taking place. December closed 6 1/4 cents higher at $5.98 and March was 7 cents higher at $6.05 1/2.
Soybean futures closed higher on Tuesday. The market was supported by fund buying and short-covering following the 13-month lows set last week. Outside markets were supportive as the equities and crude oil were higher while the dollar index was lower. Further gains were limited by rising soybean production estimates in South America amid generally favorable weather. January ended 4 cents higher at $11.25 and March was 4 cents higher at $11.35.
Wheat futures were strongly higher on Tuesday. Short-covering and fund buying helped push futures strongly higher. Weakness in the dollar index was also a supportive factor. The market rallied despite improved winter wheat condition ratings. As of Sunday, the crop was rated 52% good to excellent, up 2% from the previous week. CBOT December was 19 3/4 cents higher at $5.94 1/2, KCBT December closed 14 3/4 cents higher at $6.56 and MGE December ended 7 3/4 cents higher at $8.38 3/4.
Cattle futures closed lower on Tuesday. The weak tone in beef prices and ideas that cash trade will be lower this week weighed on the futures market. Packer margins are negative and showlists are generally larger this week. Losses were limited by strength in the stock market and weakness in the dollar index. December ended 38 cents lower at $120.58 and February was 10 cents lower at $122.45.
Lean hog futures traded higher on Tuesday. The firm tone in the cash market and the 70 cent jump in pork cutouts on Monday were supportive factors. Outside markets were also supportive as the stock market was higher and dollar index lower today. December closed 45 cents higher at $88.00 and February was 63 cents higher at $91.20.