Corn futures are trading 4 to 7 cents lower this morning. The market is trading lower as parts of the western Corn Belt received much needed rains the boost soil moisture levels. The 10 day forecasts across the eastern Corn Belt still remains relatively dry and should lift prices. Weakness in the outside market and investor disappointment toward the Federal Reserve’s economic stimulus plan are also weighing on prices.
Soybean futures are trading 7 to 12 cents lower this morning. Soybean futures plummeted at the start of the evening trade after the Federal Reserve Chairman Bernanke announced measures to stimulate the U.S. economy. Weather remains bullish for the market and will continue to be a dominant market factor in the coming weeks. Weekly export sales are expected to be price friendly for the market.
Wheat futures are trading 1 to 4 cents lower this morning. Wheat futures declined following the lead of corn and soybean prices. Investors’ reaction to the Fed’s proposed economic stimulus was bearish across all commodity markets, including wheat. However, news that the USDA may reduce it 2012/13 wheat production forecasts should keep losses in check.
Cattle futures are called to open lower this morning. Cattle futures are expected to open soft ahead of Friday’s Cattle on Feed Report. The report is expected to show May placements 13 percent higher than the previous year. The market should see support as boxed beef prices closed higher on Wednesday. Cash trade is anticipated to pick up today with cash prices called steady to lower.
Lean hogs are called to open mixed to lower this morning. The market is called to open uneven after yesterday’s losses and the decline in the pork cutout value for the first time in two weeks. The market should continue to see support from tight supplies and declining hog weights. Trade in the cash market has eased but is expected to remain steady due to tight supplies.
Cotton futures are trading lower this morning. Cotton futures are trading sharply lower early morning. The July contract is currently 500 points lower at 7:00am. The market continues to spiral downward as investors liquidate their positions in the market before calls for July delivery begins on June 25th.