Corn futures were narrowly mixed Monday night. Little fresh news concerning the corn outlook emerged last night, with the most substantive seeming to be forecasts for rainfall over grain/soy growing areas in South America. That development, as well as the wheat setback, seemed to weigh on CBOT prices. March corn futures slipped 0.25 cent to $3.895/bushel early Tuesday morning, while July inched 0.25 lower to $4.0475.
The soy complex continues trading in mixed fashion. After fluctuating rather significantly Monday, soybean and product futures generally reversed those moves last night. Soyoil values are following the crude oil market, so the overnight energy decline pulled vegoil down as well. Talk of spot market weakness undercut meal futures yesterday, but that market has bounced. Beans moved slightly lower. January soybean futures sank 2.0 cents to $10.15/bushel in early Tuesday trading, and January soyoil dropped 0.23 cents to 32.13 cents/pound, while January meal gained $0.6 to $362.6/ton.
The wheat markets set back after Monday’s surge. Talk that Russian officials are tightening wheat export rules, news of Russian price strength and the possibility of freeze damage to the Black Sea crop sent wheat prices soaring Monday. These factors remain in play, but the market seemingly paused to consolidate its late gains last night. March CBOT wheat sagged 3.0 cents to $6.0375/bushel Monday night, while March KC wheat dipped 2.25 cents to $6.62/bushel and March MWE wheat slid 2.5 cents to $6.3525.
Winter weather concerns seemed to boost cattle futures Monday. Worries that soaring beef prices will hurt demand seemingly undercut live cattle prices Monday morning, but more serious concerns about the winter performance of feedlot cattle reportedly powered the subsequent rebound. Late slippage in beef quotes, as well as afternoon GLOBEX trading, suggest a weak opening this morning. February live cattle surged 1.62 cents to 170.85 cents/pound at their Monday close, and April climbed 0.90 at 169.90. January and March feeder cattle futures spiked the 3.00-cent daily limit to 234.07 and 233.20 cents/pound, respectively.
Hog futures traded mixed to start the week. Concerns about large supplies and weak demand seemed to undercut expiring December hog futures Monday, whereas most deferred contracts posted moderate gains. Those may reflect suspicions that the USDA overestimated likely 2015 supplies on its September Hogs & Pigs report, as well as ideas that soaring beef prices will strengthen substitution demand for pork. February hog futures ended Monday having rallied 0.70 cents to 88.92 cents/pound, while June hogs gained 0.45 cents to 97.50.