Cattle: Cash cattle $126.00; dressed $200-202.00; boxed beef mixed on light midday volume; futures recovered some from sharp losses prompted by the Friday Cattle-On-Feed report. As mentioned, the built in discounts likely covered much of the report. Additionally, there’s a Slight chance of sunshine and warmer weather later week in to next week… we will get some boost from constrained outdoor demand. In other news: Washington looking at a ‘on line sales tax’; showlist estimates: Tx. unchanged; Ks., up 5,000hd.; Neb. up 14,000hd.
Hogs: Interior hogs early not well established; futures meandered around at lower price levels in a nothing trade. The midday pork ‘values’ showed good strength in the primal cuts again but the new reporting method will take some time to adjust to.
GRAINS & OILSEEDS:
Corn: A warmer and drier weather pattern, slack export/domestic demand and weaker technical combined to pressure the market. I suspect there’s a certain amount of planting uncertainty that May/July corn will start finding scale down support….’just in case’.
Soybeans: Strong losses even as old crop soybean supplies have not increased since the ‘squeeze’ in the May started. Some concern over China’s bird flu and lowered corn/meal imports for the 2nd half of the year; however, overnight China bought 174,00t U.S. new crop which might mean just more to cancel?
Wheat: Losses here attributed to improved European crop conditions; some improvement in U.S. crops; Black Sea setting up for a good crop as well as magically finding more old crop that will be available for exports.