Corn futures are called 1 to 2 cents lower. Overnight trade at 6:30 am CDT was 1 1/2 to 2 cents lower. The market was pressured overnight by strong crop condition ratings and favorable weather for crop development this week. The corn condition rating edged 1 point higher last week to 77% good to excellent. The crop rating is above the ten-year average of 67% and is the highest good to excellent rating since at least 1994. Outside markets could help limit losses as crude oil and Dow Jones futures were higher overnight while the dollar was lower.
Soybean futures are called 1 to 2 cents higher. Overnight trade at 6:30 am CDT was 1 1/2 to 2 cents higher. Soybean planting is 86% complete, down 4% from the five-year average. Crop condition ratings remain strong, but they did decline last week. Crop condition ratings fell two points to 73% good to excellent. This is still well above the ten-year average of 64% and the highest rating since at least 1994. Outside markets were slightly supportive overnight with gains in Dow Jones futures and crude oil and weakness in the dollar.
Wheat futures are called 2 to 4 cents lower. Overnight trade at 6:30 am CDT was 2 to 2 1/4 cents lower at the CBOT, 3 1/4 to 3 3/4 cents lower at the KCBT and 2 1/4 to 3 3/4 cents lower at the MGE. Some bullish news has helped futures rally recently, but futures were weaker overnight on light profit-taking from recent gains. Rain in the southern Plains is slowing harvest and raising concern about light test weights. Decreased wheat production prospects in Canada have been supportive for the MGE. But crop conditions ratings remain strong and export demand remains sluggish. USDA says that the condition gained two points this past week to 86% good to excellent. That compares with 75% last year and the average at 71%.
Cattle are called steady to mixed. Boxed beef prices stabilized on Monday and movement was described as moderate. Cash trade was lower last week and could be steady to $1 lower again this week, but so cash trade is not expected to develop until later in the week. Cattle futures remain at a discount to last the cash market.
Lean hog futures are called lower on the open. Some profit-taking is expected on the strong gains in futures on Monday. Cash trade was lower on Monday and pork cutouts fell $1.26. Outside markets were supportive on Monday as the dollar was down strongly. The dollar was slightly lower again overnight, which could help limit losses this morning.