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Overnight highlights. Following are highlights of overnight trade (as of 7:00 a.m. CT) and opening livestock calls:
Corn: 11 to 13 cents higher. Futures are seeing a boost from weather concerns, weakness in the U.S. dollar index and continued deterioration in the condition of the corn crop. Crop condition ratings declined more than expected yesterday, which lifted corn overnight. December corn is trading above the June high, with next resistance the May high of $5.49 1/2.
Soybeans: 30-plus cents higher. Futures are trading 30-plus cents higher on support from deterioration in the condition of the soybean crop due to dry and warm weather. With little rain in the near-term forecast and the extended forecast pointing to hot and dry conditions through month's end, there is concern about establishment of the crop. November beans posted a fresh monthly high, making bulls' next target the April high of $13.97.
Wheat: 10 to 13 cents higher. Futures are enjoying spillover from neighboring pits, as well as support from dollar weakness. Traders now have their attention turned to what the Federal Reserve will announce when its meeting concludes tomorrow. September Chicago wheat has moved above $6.60, but needs to return above $6.75 to signal bulls have the near-term advantage.
Live cattle: Mixed. Futures are expected to be mixed, as traders aren't impressed by the start of boxed beef trade. Values weakened slightly on movement of only 182 loads -- signaling Father's Day clearance was not strong. This raises questions about high beef prices facing resistance and puts this week's cash trade into question.
Lean Hogs: Mixed. Futures are expected to be mixed as traders are somewhat concerned about packers' negative profit margins as some plants have reduced kill hours this week. Pork values improved 21 cents yesterday, but loins and ribs were down sharply -- which raises concern about grilling demand. The cash market is expected to be steady to firmer today amid tightening supplies.