Corn futures closed lower on Tuesday. The market was pressured by the nearly ideal growing conditions in the Corn Belt. The Crop Progress report to be released this afternoon is expected to show improved condition ratings. Further losses were limited by the uptick in the stock market and the dollar turning lower after being up sharply overnight. July ended 5 cents lower at $3.54 and December was 4 3/4 cents lower at $3.75 1/4.
Soybean futures traded lower on Tuesday. Favorable weather for planting and early season crop growth weighed on futures. Weather forecasts show favorable growing conditions over the next couple of weeks. Deferreds were lower, but some underlying support came from an estimate by Oil World that pegged the global soybean crop in 2010/11 down 5.1% from 2009/10. July was 5 3/4 cents lower at $9.32 and November ended 5 cents lower at $9.02 3/4.
Wheat futures settled lower on Tuesday. Futures have fallen to new contract lows. Forecasts for favorable weather for winter wheat harvest in the southern Plains and spillover pressure from corn weighed on futures. Further losses were limited by the dollar turning lower after strong overnight gains and the stock market turning higher. CBOT July closed 7 cents lower at $4.50 3/4, KCBT July ended 3 1/2 cents lower at $4.78 and MGE July was 5 cents lower at $5.01.
Cattle futures closed higher on Tuesday. The market turned higher on short-covering and the rebound in the stock market. But gains were limited by expectations for steady to lower cash trade this week and declining boxed beef prices. At midday, choice cutouts were down another 44 cents. June closed 28 cents higher at $90.80 and August was 38 cents higher at $89.63.
Lean hog futures were mostly higher on Tuesday. But the nearby June contract was lower due to the weak tone in the cash market and the $1.10 drop in pork cutouts last Friday. But short-covering helped deferreds turn higher as the stock market recovered from early weakness. June closed 45 cents lower at $81.40 while August closed 85 cents higher at $83.65.