GRAINS:
May corn closed up 1/4 cents and July corn was up 1/2 cents. May soybeans closed down 2 1/2 cents and July soybeans were down 2 cents. May KC wheat closed down 10 3/4 cents, May Chicago wheat was down 10 cents, May Minneapolis wheat was down 12 3/4 cents.
Monday's trade in agricultural markets picked up more or less where last week left off, as corn and soybean markets traded both sides of even but within a fairly narrow range. Wheat markets continued their decline, with Kansas City futures posting a third down session out of the past four, despite growing concerns regarding dryness in the Southern Plains and already poor crop conditions in the Northern Plains. The weakness in wheat is likely stemming in part from the rallying U.S. dollar, which is working toward a fourth consecutive day higher. Stock indices were also higher to begin the week after it was announced Monday morning that the Trump administration is expected to take much more precise approach to tariff action on April 2, specifically foregoing industry specific tariffs and focusing instead on a specific group of countries for reciprocal measures.
LIVESTOCK:
Following Friday's lower close, the live cattle complex was back to rallying, but the market lost its confidence in breaking through the market's high, which was established last week in the June contract at $205. Today's weaker tone in afternoon trade likely stems from the fact that Friday's Cattle on Feed report was indeed bullish, but traders are now seeming to look to the market's fundamentals to dictate whether or not higher prices are in store for the market this week. Last week Southern live cattle traded at mostly $210, which is $7.00 higher than the previous week's weighted average, and Northern dressed cattle traded at mostly $335, which is $10.00 higher than the previous week's weighted average.
Following in line with the live cattle market's direction, the feeder cattle complex also traded higher most of the day until the final hour. The market is fearing some resistance pressure, but if fundamental support proves to be ample again this week, there's always the chance that traders could push the market higher again this week.
Even though the lean hog complex closed higher Friday afternoon, the market is back to trading lower as it waits to see what demand is going to amount to this week. And yes, Pork cutout values are higher this morning, but traders are going to need to see more followed-through support than one day's trade before they'll put much credence in the demand situation. Do note that the Quarterly Hogs and Pigs Report will be released this upcoming Thursday.