GRAINS:
May corn closed down 2 1/4 cents and July corn was down 2 cents. May soybeans closed down 2 3/4 cents and July soybeans were down 2 3/4 cents. May KC wheat closed up 3/4 cents, May Chicago wheat was down 3 1/2 cents, May Minneapolis wheat was down 1 cents.
U.S. row-crop markets for the most part kept with Monday's theme in a quiet two-sided trade for corn and soybeans Tuesday. Wheat markets were again firmer early in Tuesday's session, but that strength would fade rapidly through the last hour of trade after May Kansas City prices briefly achieved a 75% retracement of losses from the high close on Feb. 18. Meanwhile, U.S. stock indices are working lower following a two-day reprieve in the midst of one of the worst two-month stretches for the Dow Jones Industrial Average in recent memory. Tariff news has turned very quiet at least in comparison to the barrage of headlines over the previous three weeks; but a cloud of uneasiness remains over the U.S. economy. The U.S. Dollar Index is also lower Tuesday, again challenging the lowest level since mid-October.
LIVESTOCK:
Live cattle complex traders seem to be fearing the market's resistance at $201, which was established late in January. Also, without knowing how cash cattle prices are going to fair this week, the market seems to be merely chopping sideways. The cash cattle market remains silent with no bids having surfaced yet and it's likely again this week that trade will be delayed until Thursday, if not, potentially even Friday. Asking prices are noted in the South at $205 plus, but are still not established in the North.
After reaching yet again new contract highs on Monday, the feeder cattle complex is following the lead of the live cattle market as it's also trading slightly lower. Today's lower/holding tone seems to be stemming from the fact that traders want to ensure that fed cash cattle prices are indeed going to trade higher before they encourage the contracts to trade higher. We can't lose sight of the fact that the contracts are either trading at contract highs or steady with the highs made in January. Meanwhile, feeder cattle demand remains incredible in the countryside as buyers know that spring is nearing and that it's going to be turn out time in just a matter of weeks.
The lean hog complex is also traded lower into Tuesday's close as the market stalemates, seeming unable to muster up enough support to encourage traders to take on the market's resistance at $88.00 in the spot April contract. Meanwhile, it's also not helping that pork cutout values were down slightly, mainly again because of the decline on the belly that's weighing heavily on the carcass price.
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