After the Bell | June 23, 2023
Corn: July corn futures plunged 29 3/4 cents to close at $6.30 3/4, marking a 9 1/2 cent loss on the week. December futures led the complex lower, losing 32 3/4 cents on the day before settling at $5.88, near the session low and marked a 9 1/2 cent loss on the week. Corn futures succumbed to heavy selling pressure though losses were mitigated by technical support in the latter half of the session.
Soybeans: July soybeans fell 6 cents to $14.94 1/2, notching a high-range close and up 28 cents on the week, while November soybeans fell 29 1/2 cents to $13.10, losing 32 1/4 cents for the week. July meal fell $14.00 to $410.70, down $5.70 week-over-week, while July soyoil rallied 217 points to 57.94 cents, but is down 175 points on the week. Soybeans ended the week decidedly lower following a solid rally since the end of May, with traders seemingly taking profits ahead of potential weekend rains. However, with no real widespread moisture falling up to this point on the week, USDA’s updated crop rating could take an additional dive, which would offer continued volatility in next week’s trade.
Wheat: December SRW wheat fell 8 3/4 cents to $7.61 3/4, near mid-range and for the week gained 46 cents. December HRW wheat dropped 10 1/4 cents to $8.63, near mid-range and for the week up 26 cents. December spring wheat fell 8 1/4 cents to $8.80 1/4, a 20-cent loss for the week. The wheat markets were pressured today by big sell-offs in the corn and soybean futures markets.
Cotton: December cotton fell 148 points to 78.67, marking the lowest close since May 25 and a 143-point loss on the week. Cotton futures faced stronger selling to end the week amid export headwinds and unsupportive outside markets, as the U.S. dollar surged higher.
Cattle: Cattle futures ended the week on a mixed note, with the expiring June contract dipping 15 cents to $177.50 and most-active August sagging 37.5 cents to $170.775. The closing price represented a weekly drop of 95 cents. In contrast, tumbling grain prices triggered a commensurate jump in feeder futures; the August contract ended the week at $233.95, up $3.275 on the day, but down 97.5 cents on the week. Although market-ready feedlot supplies remain quite tight, as best exemplified by the noon Friday quote for the spread between choice- and select-grade beef values at an extreme of $33.86, seasonal weakness seems likely to prevail across the cattle and beef complex next week.
Hogs: August lean hog futures fell 30 cents to $89.675 and near mid-range. For the week, August hogs lost $1.00. Thursday’s technically bearish “outside day” down on the daily bar chart and today’s bearish weekly low close in August hog futures deflated the bulls a bit, but prices are still in an uptrend on the daily bar chart after hitting seven-week high in early trading Thursday.
