Corn and Soybeans Retreat Early Friday, Cattle Recover

Mark Schultz, Northstar Commodity, says corn and soybeans are lower on profit taking after a higher day yesterday.

Corn and soybeans start off lower Friday, with wheat slightly higher. Cattle bounce, while hogs retreat.

Mark Schultz, Northstar Commodity, says corn and soybeans are lower on profit taking after a higher day yesterday.

Corn looks tired he says, unable to close the March contract above the $5 mark the last few sessions.

Schultz says although weekly exports were strong at 57.2 million bu., the market needs some new bullish news and that is tough to come by ahead of the USDA Ag Outlook Forum next week with higher acreage expected.

Soybeans also saw some profit taking after a higher day Thursday pushed by talk of a China deal.

The market faces headwinds with the large Brazil crop that is applying harvest pressure.

Wheat futures started higher on fund short covering but the market is struggling to hold gains.

Weather looks more favorable with some warmer temps into the 70s and 80s in Texas and Oklahoma.

Cattle futures are back up after sinking Thursday with light lower cash trade at $199 in the South and $315 in the North.

Some of the recovery is tied to positioning ahead of the Cattle on Feed Report.

Boxed beef has also been trailing lower despite slaughter cuts by packers, which continues to keep a lid on prices yet the futures discount to cash is supportive.

This has led to the market chopping back and forth this week.

Lean hog futures are down again pressured by lower cutouts as pork belly prices have dropped $34 in just three days, plus funds are liquidating long positions.

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