Corn futures are trading lower at midday. Prices are slightly lower on light profit-taking from Friday’s gains. The stronger dollar is adding pressure, as well as forecasts for cooler, wetter weather in Argentina. However, this is not expected to reverse the overall dryness pattern and stress during pollination is still a concern. March is 1 1/2 cents lower at $6.27 1/2 and May is 1 cent lower at $6.35 1/2.
Soybean futures are trading lower at midday. Forecasts for improved weather in Argentina are pressuring prices. The crop has been stressed by drought, but cooler, wetter weather should bring some welcome relief, although crop losses are still a concern. Adding pressure is profit taking from Friday’s gains and strength in the value of the dollar. Losses are limited by strong export demand. January is 8 3/4 cents lower at $13.85 and March is 8 1/2 cents lower at $13.94 1/2.
Wheat futures are trading higher midmorning. Concerns about the U.S. HRW crop being stressed by the recent cold snap have prices trading higher. Although temperatures were not low enough lead to winterkill, the already stressed crop did not need this. Flooding in Australia remains a problem, driving concerns about global wheat production. CBOT March is 24 cents higher at $8.18 1/4, KCBT March is 21 cents higher at $8.72 and MGE March is 18 1/4 cents higher at $8.99 3/4.
Cattle futures are trading lower midmorning. Futures are slipping as profit-taking sets in following last week’s gains. Although the demand outlook is favorable given the recovery in China’s economy, speculators are concerned that prices might have a hard time moving above the recent levels. Tighter plant profits could also mean a cutback in packer demand. February is 48 cents lower at $107.88 and April is 50 cents lower at $111.70.
Lean hog futures are trading lower at midday. Profit-taking from Friday’s highs is weighing on futures this morning after April hit a new contract high. Cash markets are expected to be steady to slightly lower. Marketings are expected to be large enough to meet slaughter needs, although market ready numbers are expected to tighten this month. The premium of futures is adding pressure. February is 65 cents lower at $79.10 and April is 43 cents lower at $83.45.
Cotton futures are trading higher midmorning. Harvest is picking up in India thanks to drier weather. This is allowing exporters to fill their orders, which is bearish for other exporters such as the U.S. India’s crop is forecast at a hearty 32.5 million bales, up from some estimates that had feared greater losses due to wet weather. March is 273 points lower at 142.08 cents and May is 204 points lower at 135.57 cents.