By: NATHAN STUEDLE
St. Joseph Post
GRAINS:
July corn closed down 2 1/4 cents and December corn was down 5 1/2 cents. July soybeans closed up 3 1/4 cents and November soybeans were down 1/4 cents. July KC wheat closed down 11 1/4 cents, July Chicago wheat was down 14 cents, July Minneapolis wheat was down 9 1/2 cents.
Row-crop prices were lower to start the new week, although corn and soybean futures found support by midmorning and were able to recover most of their losses. Wheat futures continue to be a popular short among traders, as Kansas City and Chicago July contracts sank to new contract lows Monday. The early weakness in corn and soybean futures can likely at least be partially attributed to conflicting reports regarding the state of trade negotiations between the U.S. and China. Outside markets were quiet and mixed for Monday as stock indices are very close to a complete recovery of losses stemming from the April 2 through April 7 tariff rout. This week is a big tech sector earnings week, which may give investors some distraction from trade-related headlines but will also undoubtedly offer insight into the effects of tariffs thus far through 2025. The U.S. dollar also edged lower Monday, perhaps offering some midday support to corn and soybean markets, although wheat futures have largely ignored any outside market signals through their two-week selloff.
LIVESTOCK:
The live cattle complex continued to lean into Monday trade, fully taking advantage of all the support traders were willing to lend. Later this week, the spot April contract will expire, and the June live cattle contract will take front and center stage. Currently, the market's bullish push has already put the June contract at yet another new contract high. New showlists appear to be mixed, higher in Kansas, but lower in Texas and Nebraska/Colorado. Last week's cash cattle trade was delayed until Friday, and feedlot managers' patient marketing strategy paid dividends as prices were sharply higher. Live cattle in Kansas traded for mostly $213, which is $3 higher than the previous week's weighted average. Live cattle in Texas traded for mostly $212, which is $2 higher than the previous week's weighted average. Northern dressed cattle traded at mostly $342 to $343, which is $5 to $6 higher than the previous week's weighed average.
It's was intriguing to watch the feeder cattle complex trade through the morning as at the market's start, the spot August contract gapped higher, then shortly thereafter, traders filled in the gap but have since again pushed the contract back higher. The live cattle complex was thankful to see fed cash cattle prices trade higher last week, but the feeder cattle complex hasn't been short of support either as demand in the countryside has been red hot, with buyers knowing that the turn out season is rapidly approaching.
The lean hog complex is continuing to rally, for the most part, on the momentum which the market possessed last week. If traders are going to break through the resistance created last Friday in the spot June contract, they're going to need to see tremendous fundamental support again this week. And while midday pork cutout values were mildly higher, steady and stable demand is more of what they're looking for.
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