By: NATHAN STUEDLE
GRAINS:
March corn closed down 1 cents and May corn was down 3/4 cents. March soybeans closed down 4 3/4 cents and May soybeans were down 4 3/4 cents. March KC wheat closed down 4 1/4 cents, March Chicago wheat was down 7 3/4 cents, March Minneapolis wheat was down 3 cents.
Tuesday was an overall mixed to lower day across U.S. row-crop markets, with grain futures easing and oilseed futures surrendering early gains and a selling mindset overtook most markets by early afternoon. Most of the early positive influence on the soybean complex likely came via outside energy markets on Tuesday, with crude oil futures firm on buying interest following last week's profit-taking pullback, and natural gas futures leading the sector with a 25% daily surge amid a return to very cold conditions across the U.S. after a very mild past month. Lastly, stocks and the U.S. Dollar Index both saw intense selling to start the shortened trading week following a heightening of tensions between the U.S. and Europe over President Trump's plans to acquire Greenland, with the president threatening a fresh round of tariff increases on eight countries if a deal is not reached allowing for the U.S. purchase of Greenland.
LIVESTOCK:
Following last Friday's sharp decline, the live cattle complex traded cautiously higher into the closing bell on Tuesday. The spot April contract is hovering above the market's 100-day moving average, which remains a very critical threshold to monitor, as a close below that price point could signal continued downward pressure. Still nothing has developed in this week's fed cash cattle market and won't likely until Thursday or Friday. New showlists appear to be mixed, higher in Kansas, about steady in Nebraska/Colorado, but lower in Texas. Boxed beef prices are mixed: choice up $1.99 ($366.32) and select down $0.79 ($359.54) with a movement of 54 loads (42.95 loads of choice, 6.13 loads of select, zero loads of trim and 5.24 loads of ground beef).
And much like the live cattle complex, the feeder cattle contracts are trading slightly higher into midday Tuesday following last Friday's severe break. The feeder cattle complex will likely continue to follow in the live cattle market's wake, waiting and hoping for increased fundamental support.
The lean hog complex is traded narrowly mixed on Tuesday, seeming technically unafraid that the market is breaking into new contract highs in the spot April contract. It is worth noting that pork cutouts were higher, but it will remain critical that fundamental support remains strong this week if traders are going to keep their momentum in the market.