By: NATHAN STUEDLE
St. Joseph Post
GRAINS:
July corn closed unchanged and December corn was down 4 1/4 cents. July soybeans closed up 2 1/4 cents and November soybeans were up 1/4 cents. July KC wheat closed down 14 1/4 cents, July Chicago wheat was down 14 cents, July Minneapolis wheat was down 10 1/4 cents.
Grain markets traded mixed to begin a shortened trading week. Corn futures chopped on both sides of even as a sharply lower wheat market weighed psychologically on corn traders following another week of decent rainfall across the Southern Plains which stretched into Nebraska, offering relief to areas which have been among the worst in drought conditions as of last week. Soybean futures were able to post marginal gains after President Trump announced a delay on a 50% tariff against the European Union until July 9 to allow time for trade talks to take place. Outside markets were mixed, with stock indices higher on the delayed tariff news. This also led to a firmer U.S. dollar which may have weighed negatively on wheat futures as well for Tuesday's session.
LIVESTOCK:
Most believed that Friday's encouraging Cattle on Feed report would help propel the market into at least steady, if not higher, trade early this week, but traders have a different feel of the market as the live cattle contracts traded well over $1.00 lower into today's noon hour. Some of the market's concern could be stemming from the fact that this week's slaughter is expected to be dramatically lower than recent weeks as packers continue to try to find ways to build up supply around them and avoid driving the cash cattle market any higher.
It's was a grim morning for the feeder cattle complex as most of the contracts traded $2.00 to $3.00 lower into Tuesday's noon hour. At first, the market opened higher but then did a key reversal as traders quickly jerked all their support for the complex out.
It's was encouraging day for the lean hog complex as the market finally found some technical support and is pleased to see the noticeable jump in pork cutout values. The market is a couple of dollars away from its resistance threshold, so the complex will likely be able to sustain this rally.
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