The Labor Department reports that 175,000 non-farm jobs were added last month which was about as expected. The unemployment rate ticked up slightly to 7.6% as more people tried to re-enter the job market.
Corn futures are called 2 to 6 cents higher on followthrough from short-covering seen in overnight trade.
- Corn futures were 1 to 7 cents higher in overnight trade on followthrough from yesterday's gains.
- December corn is poised to post moderate losses this week as the contract is trading around a dime lower than last week's close.
- Talk is picking up about producers' plans to either switch unplanted intended corn acres to soybeans or claim Prevent Plant.
- There are also concerns about the crop that has been planted due to the impact recent cool and wet conditions have had on its establishment.
- News that Tyson may need to import corn from South America in the near-term due to tight domestic supplies reminds the market of the razor-thin old-crop stocks situation.
Soybean futures are called to open 12 to 20 cents higher on improved technicals.
- Soybean futures ended the overnight session 12 to 21 cents higher as improved technicals continue to encourage funds to extend their long exposure to the market.
- November soybean futures are working on solid weekly gains. A high-range close would especially be a positive technical signal for traders heading into the weekend.
- Concerns about soybean planting delays are beginning to grow, which is also supportive for new-crop futures.
- Yesterday's NWS 6- to 10-day forecast calls for above-normal precip across the eastern Corn Belt, along with normal temps.
Wheat futures are called to open 1 to 3 cents higher on spillover from neighboring pits.
- Chicago wheat ended the overnight session mostly 1 to 2 cents higher, Kansas City wheat was mixed amid bull spreading and Minneapolis wheat was 6 to 7 cents higher.
- Wheat remains in a follower's role to neighboring pits and outside markets.
- Early harvest-related activity in southern Texas is limiting buying, although harvesters report disappointing results.
Live cattle futures are called to open mixed as traders wait on cash trade to develop.
- Live cattle were mixed yesterday amid uncertainty surrounding this week's cash trade, with more of the same expected this morning.
- While packers' profit margins remain well in the black, they haven't been willing to raise bids due to uncertainty surrounding beef demand.
- As a result, cash cattle trade isn't expected until later today at steady to $1 lower levels compared to last week's $124 trade.
- Choice boxed beef values were 77 cents softer yesterday and Select rose 28 cents on decent movement of 187 loads.
- Strength in the corn market will make it more difficult for feeder futures to generate much more than short-covering support.
Lean hog futures are called to open mixed following yesterday's gains.
- Weakness in the pork cutout market yesterday is expected to result in some profit-taking following yesterday's gains, although tighter market-ready supplies will limit selling.
- Pork cutout values slipped $1.20 and movement softened to 361.9 loads of cuts. A sharp drop in belly prices led to much of the decline.
- The cash hog market is called mixed amid varied demand for cash hogs.