Corn futures are trading sharply lower at midday. Strength in the dollar, sharply lower crude oil prices and favorable weather for corn planting are weighing on futures. Favorable weather last week is expected to have helped planting progress jump to around 19% complete, up from 3% the previous week. Forecasts call for favorable weather the first half of this week. May is trading 11 1/2 cents lower at $3.52 1/2 and July is 12 cents lower at $3.62.
Soybean futures are lower at midsession. Spillover selling from corn, strength in the dollar and weakness in crude oil are weighing on the market. This morning USDA reported the cancellation of 165,000 tonnes of U.S. for delivery in 2009/10, but also reported the sale of that amount for delivery in 2010/2011. May is 7 3/4 cents lower at $9.77 1/2 and July is 8 1/4 cents lower at $9.86 3/4.
Wheat futures are strongly lower at midday. After the short-covering rally on Friday, the market has turned lower this morning. Strength in the dollar and spillover pressure from corn and soybeans are weighing on futures. Wheat fundamentals remain bearish. CBOT May is 13 1/4 cents lower at $4.93 1/4, KCBT May is 13 1/4 cents lower at $4.93 1/4 and MGE May is 9 3/4 cents lower at $5.10 1/4.
Cattle futures are trading lower at midsession. Weakness in outside markets and profit-taking from recent gains are weighing on futures. There is some concern that beef prices and cattle prices are topping. Last week, cash trade at mostly $98 in the southern Plains, down from $99-$100 the previous week. Beef prices were slightly lower on Friday after hitting the highest level since July 2008 last week. June is 15 cents lower at $94.50 and August is 23 cents lower at $92.75.
Lean hog futures are mostly lower at midday. The market opened higher on firm cash markets and technical strength after futures rallied to new highs last week. But futures turned lower on profit-taking amid the premium of futures to cash. Outside market weakness is also contributing to the weakness. June is 8 cents lower at $86.08 and July is 5 cents lower at $86.15.