Corn futures closed fell to new contract lows Thursday. USDA's Supply/Demand report was negative for new-crop as estimated 2005-06 ending stocks were pegged at 2.54 billion bushels, their highest level since 1987-88. Currently, the weather forecast is favorable for early crop development. July ended 2 1/4 cents lower at 2.04 1/4.



Soybean futures closed strongly lower on Thursday. USDA supply/demand numbers were supportive, but the market fell anyway. Ending stocks for 2004-05 were trimmed 20 million bushels to 355 million and 2005-06 ending stocks were pegged at 290 million bushels, nearly 75 million below expectations. July closed 9 1/2 cents lower at $6.23 1/2.



Wheat futures were lower Thursday. The market was pressured by USDA's winter wheat production and supply/demand forecasts. USDA pegged the crop at 1.591 billion bushels, up from 1.499 billion last year and about 35 million above market expectations. CBOT July was 5 cents lower at $3.18 3/4. KCBT July fell 2 3/4 cents to close at $3.13 3/4. MGE July wheat was down 5 cents at $3.25.



Cattle futures continued to push higher Thursday setting another round contract highs in the summer and fall months. The deep discount to the cash market is attracting buying interest. Despite weak beef prices, heavy volume of boxed beef movement on Wednesday contributed to bullish ideas about demand. June futures closed 35 points higher at $86.80.



Lean hog futures closed higher on Thursday. Cash hog prices were mixed after several days of solid declines. Recent declines in cash prices in combination with strengthening wholesale pork prices have dramatically changes the profit outlook for hog packers. June was 28 cents higher at $76.50.