After the Bell | January 11, 2023

After the Bell | January 11, 2023 Gains in soymeal and crude oil futures underpinned strength in the grain and soy complex ahead of Thursday’s government updates.

Pro Farmer's After the Bell
Pro Farmer’s After the Bell
(Farm Journal)

Corn: March corn futures rose 1 cent to $6.56 and near mid-range. The corn futures market saw a quiet trading session, with short covering and position squaring featured ahead of Thursday morning’s USDA plethora of reports.

Soybeans: March soybeans rose 8 cents to $14.93, ending the session above the 20-day moving average near $14.88. March meal rose $5.70 to $474.60, while March soyoil fell 46 points to 62.11 cents. Soybeans turned moderately higher, marking spillover gains from soymeal strength and supportive outside markets as crude oil futures inch back towards $80.00 per barrel.

Wheat: March SRW wheat rose 9 cents at $7.40. March HRW wheat gained 10 1/2 cents at $8.22 1/4. Prices closed nearer their session highs. March spring wheat futures added 4 3/4 cents to close at $8.99 1/4. The winter wheat futures markets today saw corrective rebounds and short covering after hitting 15-month lows on Tuesday.

Cotton: March cotton fell 50 points to 84.26 cents, marking a mid-range close. Cotton futures fell for the second straight session despite supportive outside markets as crude oil futures continued higher on improved demand prospects and the U.S. dollar index traded either side of unchanged throughout the session.

Cattle: Live cattle futures proved flat-to-lower Wednesday, with the February contract again closing unchanged at $157.75 and deferred futures declining. Feeder futures reacted poorly to renewed strength in grain and soy complex prices, as indicated by the March future’s 95-cent drop to $185.55. Fed cattle supplies are likely proving somewhat plentiful at the moment due to the holiday-related production cutbacks made by beef packers the past three weeks.

Hogs: Hog futures continued their contra-seasonal slide, with nearby February falling 50 cents to $79.30. Unlike the fall months, when extremely low weights indicated considerable supply tightness, hog supplies are likely proving rather plentiful at the moment.