Corn futures closed lower on Monday. The market was pressured by strength in the dollar and ideas that strong corn planting progress will be reported in this afternoon’s Crop Progress report. Losses were limited by rain in the Corn Belt that will temporarily slow planting and the lack of additional reported corn sales to China. July ended 3 3/4 cents lower at $3.71 1/2 and December was 2 3/4 cents lower at $3.89 1/2.
Soybean futures were solidly lower on Monday. Strength in the dollar and diminishing export demand for U.S. soybeans weighed on futures. With most export demand shifting to South American, weekly export inspections reported this morning were only 1.9 million bushels. Estimates for the soybean crops in Brazil and Argentina have been increasing recently. July ended 12 1/2 cents lower at $9.86 1/2 and November was 9 1/4 cents lower at $9.66 1/2.
Wheat futures settled lower on Monday, but were able to trim losses into the close. Strength in the dollar, spillover selling from corn and soybeans and bearish supply/demand fundamentals weighed on futures. Further losses are being limited by weekly export inspections of 17.6 million bushels, which were above trade expectations. CBOT July closed 1 1/4 cents lower at $5.01 3/4, KCBT July was 2 3/4 cents lower at $5.12 and MGE July closed 2 cents lower at $5.35 1/2.
Cattle futures traded higher on Monday, led by front end contracts. The discount of futures to cash, firm beef prices and outside market support triggered the fund led rally. Choice cutouts, already near 21-month highs, were up another 42 cents at midday. The supply of market ready cattle remains tight and with improved export shipments and solid export demand, firm beef prices have kept packer margins favorable. June closed $1.30 higher at $95.53 and August was $1.43 higher at $94.95.
Lean hog futures traded higher on Monday. Front end futures were supported by tight supplies of market-ready hogs and favorable packer margins. Cash hog markets were steady to higher today. Gains in deferred contracts were limited by strength in the dollar, which is bearish for pork exports. June ended 60 cents higher at $86.93 and July was $1.15 higher at $87.38.