By: NATHAN STUEDLE
GRAINS:
July corn closed down 7 1/4 cents and December corn was down 7 1/4 cents. July soybeans closed down 8 cents and November soybeans were down 4 1/2 cents. July KC wheat closed up 4 1/4 cents, July Chicago wheat was down 3/4 cents, July Minneapolis wheat was up 1 1/2 cents.
Corn and soybean futures moved lower Thursday in response to the June issue of the World Agricultural Supply and Demand Estimates (WASDE) from USDA, though soybean traders may have been more reactive to another sluggish round of export data released Thursday morning. As for wheat, the historically small U.S. crop once again was reduced, supporting U.S. prices while the world situation remains hazy. Outside markets also leaned bearish on ag futures with energy markets turning lower after President Trump canceled a planned third day of strikes against Iran, stating the Iranian leadership had approved the latest negotiations and efforts for a lasting peace deal.
LIVESTOCK:
The live cattle contracts were mildly rallying as traders gingerly push the contracts higher and closer to resistance at the market's 40-day moving average. At this point, traders haven't seemed nervous about getting closer to that resistance threshold, which hopefully means they'll hold this momentum through the balance of the week. Bids are on the table in three major feeding states, but because the offers are well below asking prices trade could be delayed for a while still. Asking prices are noted at $258 in the South but are not established in the North. Thursday's WASDE report shared that beef production for 2026 was decreased by 109 million pounds as both fed and non-fed slaughter speeds have declined. However, it is worth nothing that the decline in slaughter is partially offset by heavier carcass weights. The quarterly steer price projections didn't show much of a change from May's report. The only quarter that saw an increase from last month was second quarter steers averaged $255 -- up $2.00 from las month. Steers in the third quarter are expected to average $252 and steers in the third quarter are expected to average $255 -- both of which are unchanged from a month ago. Beef imports for 2026 were steady at 6,109 million pounds, but beef exports for 2026 fell by 20 million pounds.
Upon seeing the live cattle contracts scaling higher, the feeder cattle contracts boldly pushed higher into Thursday's closing bell. Helping add some additional support to the market is the fact that buyers have been a tick more aggressive this week in the countryside as the board's higher trend seems to have them buying more confidently.
While the cattle contracts rallied, the lean hog contracts continued to fall in the nearby contracts, and the back of the board only softly higher, as traders aren't confident in the marketplace right now. Yes, midday pork cutout values may be higher, but traders have seen too much choppy trade lately to let that alone hold the market steady. Thursday's WASDE report shared that pork production for 2026 was increased by 10 million pounds as heavier carcass weights are more than offsetting the slight decline in production. Meanwhile quarterly hog prices saw a decrease from last month's report as hogs in the second quarter remained steady at $64.50, but hogs in the third quarter are now expected to average $69 (down $2.00) and hogs in the fourth quarter are now expected to average $74 (down $3.00). Pork imports for 2026 grew by 10 million pounds and pork exports for 2026 grew by 20 million pounds.