Concerns about old-crop supply tightness seemed to boost the grain and soy markets Monday morning, with the expiring May corn contract leading the way higher. Meanwhile, ideas that the cold, wet spring has delayed corn plantings to the point where they will not be completed by late May seemed to boost deferred futures as well. In addition, the weekly Export Inspections result was seen as supportive. July corn jumped 20 cents to $6.5625/bushel in Monday morning activity, while December climbed 8.25 cents to $5.3775.
Persistent tightness in old crop soybean supplies continued supporting the expiring May CBOT contract and its July counterpart. And despite ideas that laggardly corn plantings will force acreage into beans later this spring, the new crop contracts also rose moderately Monday morning. However, the surprisingly small result on the weekly Export Inspections report probably limited futures gains. July soybean futures bounded 13.0 cents higher to $14.12/bushel just before the lunch hour Monday, while July soyoil edged up 0.19 cents to 49.42 cents/pound, and July soybean meal gained $5.6 to $412.4/ton.
Concurrent strength in corn and bean futures probably boosted the wheat markets as well Monday morning. Still, concerns about the weather and its impact upon the forthcoming winter wheat crop in the Southern Plains and upon spring wheat plantings in the Northern Plains are still very apparent. The weekly export inspections figure also topped expectations, thereby giving futures an additional boost. July CBOT wheat futures surged 11.25 cents to $7.155/bushel by midsession Monday, while July KCBT wheat advanced 11.75 cents to $7.705, and July MGE futures rallied 8.75 to $8.175.
News of surprising cash market weakness undercut cattle futures despite record-high beef prices last week. Large discounts built into nearby futures show traders expect much more of the same during the next few weeks. However, they may be having second thoughts today, due largely to suggestions that the big wholesale gains posted last week will continue during the days ahead. June cattle climbed 0.67 cents lower at 121.12 cents/pound Monday morning, while December bounced 0.60 cents to 126.27. Meanwhile, August feeder cattle futures rose 0.42 cents to 147.05 cents/pound, while November increased 0.15 cents higher to 152.07.
Anticipation of late-May cash and wholesale weakness seemed to undercut CME hog futures late last week. However, renewed optimism appeared to be exaggerating a technical bounce to start the new week. June hog futures rallied 0.87 cents to 91.37 cents/pound, while December futures rebounded 0.35 cents to 77.60.