Corn futures couldn’t sustain their Tuesday night bounce. Corn futures rebounded from three-year lows in overnight trading, then gave them and a bit more back during the Wednesday CBOT session. Prospects for a huge U.S. crop this fall are rather clearly weighing upon prices, although traders may be thinking recent losses have incorporated the expected supply increase. September corn dipped 4.0 cents to $4.6825/bushel at the Wednesday close, while December sagged 1.0 cent to $4.5825.
The soy complex was decidedly mixed Wednesday. Most soybean and meal contracts rallied in concert with corn market early Wednesday, with bulls being encouraged by report of a large U.S. sale to China. But new crop bean prices later declined with corn. Old crop tightness seemed to boost the meal market, but renewed palm oil weakness apparently sparked fresh selling in the soyoil pit. September soybeans closed 5.5 cents higher at $11.99/bushel Wednesday afternoon, while November beans slipped 1.5 cents to $11.6575. September soyoil fell 0.47 cents to 41.74 cents/pound, whereas September soymeal surged $5.4 to $377.0/ton.
After holding up well in late July, wheat prices have turned downward this week. The looming end of the winter wheat harvest and the prospect of a large spring wheat crop are probably weighing upon prices. However, the fact that U.S. wheat remains quite expensive compared to product in other areas seems to be spurring futures sales as well. September CBOT wheat dove 7.0 cents to $6.43/bushel in late Wednesday trading, while September KCBT wheat sank 3.0 cents to $6.99, and September MGE futures lost 3.25 cents to $7.3625.
The cattle complex turned lower Wednesday. Cattle traders recently became more optimistic about short-term cash prospects, especially after choice cutout values rose significantly yesterday and today. However, nearby futures failed to overcome technical resistance in early trading, which may have prompted the midday reversal. October cattle were unchanged at 124.67 cents/pound as pit trading ceased Wednesday, while December skidded 0.07 to 127.22. Feeder cattle futures suffered surprisingly large losses. September plunged 1.27 cents to 156.37 cents/pound, and November tumbled 1.15 to 159.52.
Lean hog futures dove after testing overhead resistance. Persistent cash and wholesale gains have rather clearly been boosting the CME market lately. However, after surging again in overnight trading, all but the expiring August future turned sharply lower Wednesday morning. The relatively weak result for June pork exports may have sparked the reversal. October hog futures settled down 1.53 cents to 84.92 Wednesday afternoon, while December tanked by 1.18 cents to 81.67.