Corn and Soybean futures bounced sharply higher Wednesday, fueled by the eroding crop conditions revealed in the weekly Crop Progress report and spawned by intensifying drought in the Corn Belt.
Corn futures closed mostly 20¢ to 31¢ higher through Sep ‘24 and then mostly 10¢ to 18¢ higher.
Soybean futures closed 23¢ to 37¢ higher through Aug ‘24 and then mostly 15¢ higher.
KC HRW Wheat closed mostly 27¢ to 37¢ higher.
Those gains cast a bearish shadow across Feeder Cattle futures, which closed an average of $3.67 lower ($2.92 to $4.42 lower).
Live Cattle faded most of the heat, supported by current cash premiums and despite lower cash fed cattle prices so far this week and recent sharp declines in wholesale beef values. Live Cattle closed an average of 34¢ lower, except for 12¢ and 5¢ higher in the front two contracts.
Keep in mind the monthly Cattle on Feed report comes out Friday.
Negotiated cash fed cattle trade ranged from limited on light demand to slow on light demand through Wednesday afternoon, according to the Agricultural Marketing Service.
So far this week, live prices are $2 lower in the Southern Plains at $180/cwt. and $2-$3 lower in the western Corn Belt at $184-$185, where dressed prices last week were $294-$300.
Although too few to trend, there were some live sales in Nebraska at $182-$185. Last week, live prices there were $185-$189 on a live basis and $296 in the beef.
Choice boxed beef cutout value was $2.66 lower Wednesday afternoon at $334.25/cwt. Select was $3.68 lower at $304.25/cwt.
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