Grains:
September corn closed up 6 cents and December corn was up 6 1/4 cents. September soybeans closed up 23 1/4 cents and November soybeans were up 23 1/2 cents. September KC wheat closed up 4 1/2 cents, September Chicago wheat was unchanged, September MIAX Minneapolis wheat was down 3 1/4 cents.
Heavy rainfall was observed across the eastern U.S. grain belt last week, normally a welcome event ahead of filling for corn and soybean crops, but this year giving rise to flooding and quality concerns. For now, traders appear to be pricing in increased chances to see further reductions to yield forecasts in future USDA reports, which will in turn offset the bearish increase to acreage noted in last week's USDA update. Meanwhile, despite no sign of de-escalation in the Black Sea conflict, wheat futures struggled to build further momentum after a bullish close to last week's trade. Seasonal pressure may continue to weigh against prices in the short-term, though bullish arguments are beginning to outweigh bearish counterpoints just a head of the typical seasonal low for row crops ahead of the U.S. harvest.
Livestock:
The live cattle complex was mostly higher trading into Monday's noon hour, but the market was traded back and forth throughout the morning as traders were trying to put their finger on where trade direction is headed next. The cash cattle market remained quiet at Monday's noon hour as no bids or asking prices had surfaced. New showlists for the week are mostly steady in Texas and Nebraska, but higher in Kansas.
While the live cattle complex may be seeing some minor support from traders, the feeder cattle complex has struggled to muster the same level of support Monday morning as its contracts were trading lower into the day's noon hour. More than likely the feeder cattle contracts traded lower as traders simply weren't confident about the market's nearby future as the midterm elections are nearing, the border is set to begin to allow imports from Mexico starting next Monday, and headline news like what Tyson Foods shared last week (that they're closing two more beef plants and intend to sell another) continue to wreak havoc on the market's stability.
The lean hog complex was enjoying a modest rally Monday morning as traders were helping support the contracts mildly, although midday pork cutout values were lower again. October lean hogs closed down 0.025 at $81.72, December lean hogs closed up $0.05 at $72.52 and February lean hogs closed steady at $75.77. If the market is to sustain a rally throughout the week it's going to be vital that fundamental support improves, especially from consumers.