By NATHAN STUEDLE
St. Joseph Post
GRAINS:
May corn closed down 4 cents and December corn was down 3/4 cents. May soybeans closed down 4 3/4 cents and November soybeans were down 2 cents. May KC wheat closed up 3 1/4 cents, May Chicago wheat was down 1 1/4 cents, May Minneapolis wheat was down 1 1/2 cents.
The grain markets took a breather Wednesday with decreased volume and volatility behind the trade. It was not all that surprising to see corn and soybeans trade slightly lower ahead of the pending announcement from President Trump due Wednesday afternoon regarding the implementation of reciprocal tariffs on U.S. trading partners. However, the moderate correction from Tuesday's strong session in soybeans displays that traders are likely finding some degree of optimism in that, at the very least, the period of waiting and speculating on policy out of Washington will reach some form of conclusion Wednesday afternoon. Kansas City wheat prices on the other hand continue to recover from last week's lows on continued strength from the bullish acreage estimate on Monday as well as an uncertain weather outlook. Outside markets were understandably choppy ahead of President Trump's comments, but notably the U.S. Dollar Index fell to its lowest point in a week and a half, which also likely served as some bullish fuel for the wheat market.
LIVESTOCK:
Live cattle futures have regained additional momentum through midweek with prices moving through last week's highs of $209.55 per cwt in April contracts. This ability to move to additional heights over the past couple of days has helped to rekindle buyer support in both nearby and deferred contracts. Most of the buyer support and aggressive price movement have been contained to April through August contracts with traders focusing on summer demand and the potential for further wholesale and retail beef price support over the coming months. Cash cattle markets remain at a general standstill midweek with activity through the morning and a very slow start to the day with just a few asking prices noted around $212 in the South, but they are still not established in the North.
Feeder cattle futures are held onto light to moderate gains following the support in live cattle trade through the morning. Narrow support is seen in April and May contracts, but further support is seen in fall 2025 contracts. The potential for tighter supplies through the end of the year and continued long-term strength in beef values well past the current run higher is helping to sustain longer-term support through the feeder cattle complex. Given the recent support in the market, nearby and deferred contracts are holding well above both 40-day and 100-day moving averages as contracts continue to reach for new contract highs.
Lean hog futures remain under pressure as traders continue to battle the uncertainty of tariff implications and economic concerns for both short- and longer-term buying decisions. Summer contracts were trading with triple-digit losses as concerns of moving further lower keep buyers on the sidelines. May through July futures have dipped below the 40-day moving average during morning trade.
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