Corn futures closed lower on Monday. Favorable crop weather and ideas that the Crop Progress report this afternoon will show improved condition ratings weighed on the market. Weekly export inspections reported this morning were only 31.7 million bushels, which was below pre-report trade expectations. July ended 4 1/4 cents lower at $3.35 3/4.
Soybean futures settled steady to slightly lower on Monday. The market was pressured by favorable weather for early seasonal crop growth, although rain this week could slow the tail end of soybean planting. The market is looking for crop condition ratings to be 70% good to excellent in the Crop Progress report this afternoon. July was unchanged at $9.35 and November was unchanged at $9.00.
Wheat futures were lower on Monday. The decline in wheat continued today, hitting new contract lows again. Fundamentals remains bearish as winter wheat harvest will continue to expand and as spring wheat conditions ratings are very strong. Strength in the dollar was a bearish factor as it is bearish for export demand, which is already sluggish. CBOT July closed 3 1/2 cents lower at $4.32 1/4, KCBT July was 3 cents lower at $4.62 and MGE July ended 6 cents lower at $4.86 3/4.
Cattle futures closed lower on Monday. Declining boxed beef prices and spillover pressure from lean hogs weighed on futures. June fell to the lowest level in two months and August hit a four month low. Choice cutouts were down 36 cents and select cuts were $1.28 lower at midday. Shrinking packer margins are expected to weigh on cash trade this week. June closed $1.15 lower at $89.80 and October was 98 cents lower at $89.00.
Lean hog futures were strongly lower on Monday. Technical weakness and fund selling weighed on the market. Cheaper corn prices and the weak tone in the cash market provided fundamental pressure. Despite the outlook for tightening supplies of market ready hogs, packers continue to lower cash bids. Pork cutouts have been moving lower and movement was slow again today. July futures fell to near four-month lows. June ended $1.28 lower at $77.78 and July closed $1.70 lower at $78.03.