Corn
December corn futures fell 1/4 cent to $4.11 1/2, near mid-range and on the week up 6 1/4 cents. The corn market paused today after Thursday’s solid gains that came as the just-completed Pro Farmer Crop Tour found the corn crop in some areas might not have a great finish due to disease issues. A big drop in the U.S. dollar index today and this week’s strong corn export sales numbers will be bullish elements for corn traders to focus on early next week. World Weather Inc. today said drier weather in the Corn Belt the next week or so “should see most of the corn crop too far advanced to see significant declines in yields, while corn maturation should be sped up by the continued lack of rain.”
Soybeans
November soybean futures rose 2 1/2 cents to $10.58 1/2, near the session high and hit a two-month high. For the week, November beans rose 16 cents. September soybean meal fell 10 cents to $296.70, near mid-range and hit a nine-week high early on. For the week, September meal rose $13.30. September soybean oil futures gained 120 points to 54.84 cents, nearer the session high and hit a three-week high. For the week, September bean oil rose 166 points. Soybeans and bean oil markets closed at technically bullish weekly high closes today. The solid two-day rally in the soy complex futures to end the trading week comes as the Pro Farmer Crop Tour scouts are finding some disease issues for soybeans in some Corn Belt areas that could nip yields. Technical buying was also featured in the soy complex today. World Weather Inc. today said areas from southeastern Missouri to southern Illinois and western Kentucky will be dry through much of the next week “and stress to crops and declines in soybean yields are likely to increase as soil moisture is already short and the remaining moisture is lost to evaporation.” Mild temperatures through the next week along with adequate to favorable subsoil moisture in much of the remainder of the Midwest should maintain favorable conditions for soybean crop development and very high yield potentials while the region dries down.
Wheat
December SRW wheat futures closed down 2 1/2 cents to $5.27 1/4, nearer the session low and for the week up 1/4 cent. December HRW wheat fell 5 cents to $5.21, nearer the daily low and closed at a contract low close. For the week, December HRW lost 7 1/2 cents. Technical selling in the winter wheat futures markets resumed today, amid firmly overall bearish chart postures as prices resumed their near-term downtrends. World Weather Inc. today said “significant rainfall” is expected in the Plains the next 10 days, especially in central and southern production areas. “This rain will be nearly perfect for the winter wheat planting that begins in early September. However, the combination of frequent rain and well below average temperatures will lead to some fieldwork delays, too. Northeastern production areas will receive the least rainfall, but there should still be enough to satisfy summer crops,” said the forecaster.
Cotton
December cotton futures rose 59 points to 68.01 cents, nearer the session high and closed at a technically bullish weekly high close, which gives the bulls some technical momentum heading into trading early next week. Still, the cotton market remains trapped between strong overhead technical resistance and strong technical support under the market. World Weather Inc. today said dryland cotton in southwestern parts of west Texas “needs significant rain.” Some showers are possible late next week and into the following weekend, but no general soaking rain is predicted. Other areas in west Texas will get rain with some significant amounts in the north. Cooler temperatures and wet weather may slow crop development for a while. Rain in the Panhandle and Rolling Plains should be abundant along with that in southwestern Oklahoma. Other areas in Texas are seeing highly varying weather and soil conditions.Timely rain will become increasingly more important as the next two weeks move along to ensure the best crop development and yield potential in the Blacklands and upper coast. South Texas crops are maturing and being harvested and some rain periodically there and in the Coastal Bend will slow fieldwork and crop maturation rates. U.S. Delta cotton crops are drying down and timely rain is needed. The Delta will see some rain next week, although it will be a bit too light and sporadic for a serious change in the driest areas. The southeastern U.S. cotton areas in the nation have received significant rain recently and more will fall to support long term crop development, said World Weather.
Cattle
October live cattle futures rose $3.15 to $237.875, near the daily high, hit a contract high and for the week were up $7.225. Nearby August live cattle hit a record high of $240.40. September feeder cattle futures rose $4.65 to $362.675, near the session high and poked to another contract high. For the week, September feeders rose $15.325. Nearby August feeder cattle hit a record high of $360.675. Bullish fundamentals and technicals continue to drive the cattle futures markets into record-high territory, with no strong, early clues that market tops are close at hand. Cattle traders were awaiting this afternoon’s monthly USDA cattle-on-feed report, which will set the tone for price action early next week. Most analysts expect the report to show less cattle on feed and placed on feed as of Aug. 1 than last year. USDA today reported more active cash cattle trade. Steers fetched an average price of $244.92 and heifers $244.35. USDA Monday reported the average cash cattle trading price last week was $242.01, the same as the week prior. Today’s noon report showed Choice-grade cutout value was down 99 cents to $406.87, while Select rose 25 cents to $383.85. Movement at midday was good at 86 loads. The Choice-Select spread is presently $23.02.
Hogs
October lean hog futures rose $1.275 to $91.20, near mid-range and closed at a technically bullish weekly high close. For the week, October hogs gained $1.10. Technical buying and perceived bargain hunting were featured in the hog futures market today. More record highs in live and feeder cattle futures markets also prompted spillover buying interest in hog futures. The noon report today showed pork cutout value rose $1.16 to $113.76, led by gains in picnics. Movement at midday was 150.74 loads. The latest CME lean hog index is down another 25 cents to $108.32 (as of Aug. 20). Monday’s projected cash index price is down another 48 cents to $107.84. The national direct five-day rolling average cash hog price quote today is $109.52.