Strength in Corn & Wheat, Beans Neutral
Mar 12, 2012
Corn & Wheat futures have been strong & near their morning highs all morning while beans opened lower and rallied slightly.
Corn futures are showing there is continued demand for "old crop" corn and no deliveries up to this point. The majority of demand is in the world export markets, since domestic ethanol and cattle feeding are slightly unprofitable at this point. Wheat futures are following corn futures this morning. The southern plains received significant rain through the weekend and warm temperatures over the next days will push wheat further into development than normal for this time of year. Unless there is a freezing weather event into the southern plains, wheat looks slightly bearish from a fundamental standpoint.
Live & Feeder Cattle have continued their down move today after last week cash trade was $126-27. Boxed beef has also lower today.
Justin Lewis, M.B.A.