Corn: 1 to 2 cents higher
Soybeans: 3 to 6 cents higher
Wheat: 3 to 5 cents higher
After Monday’s high-range close, the corn, soybean and wheat markets enjoyed some followthrough buying overnight.
South American Crop Consultant Dr. Michael Cordonnier cut his Argentine soybean crop estimate another 2 MMT to 43 MMT and warns the figure could drop to 40 MMT or lower if forecast rains disappoint. He also shaved another 1 MMT off his corn crop estimate for the country that now stands at 34 MMT.
Also supportive, USDA announced a 210,000 MT corn sale to South Korea via its daily reporting system.
Weather concerns are also giving the wheat market a lift. Statisticians in Kansas reported another drop in winter wheat crop ratings for the state, which is garnering more attention than some improvement in ratings for Oklahoma and Texas.
Hogs: Choppy to higher
Traders are signaling a lower bias toward this week’s cash action, as they have expanded rather than tightened the discount futures hold to last week’s trade. That said, the discount is likely overdone. Concerns persist that feedlots are backing up across the Plains and the product market got off to a lackluster start to the week.
On the other hand, pork prices strengthened on Monday, with bellies surging to the upside. This could signal some buying for spring features is underway and possibly return some short-covering to lean hog futures. Meanwhile, cash hog prices continue to slide amid large supplies of market-ready hogs. April futures are trading in line with the cash hog index.