After the Bell | May 4, 2022

Wheat futures surge as reduced India crop outlook fuels supply concerns; soybeans higher, corn mixed.

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

Corn: July corn futures rose 1 1/4 cent to $7.94 1/4, after dropping to a one-week low earlier, while December futures rose 1 cent to $7.36 1/4. Corn futures ended mixed as spillover from a rally in the wheat market was offset by expectations for improved planting conditions in the Midwest.

Tomorrow’s weekly USDA export sales report is expected to show net U.S. corn sales for 2021-22 at 500,000 MT to 1.2 MMT, while net sales for 2022-23 are expected to range from 700,000 MT to 1.2 MMT.

Soybeans: July soybeans rose 10 cents to $16.40 1/2, after hitting a three-week low earlier. July soymeal fell $5.70 to $418.20, a three-month closing low. July soyoil rose 215 points to 82.43 cents. Soybean futures rose for the first day in three with support from strength in soyoil, crude oil and wheat markets.

Wheat: July SRW wheat surged 31 cents to $10.76 1/2. July HRW wheat rose 30 1/2 cents to $11.23 1/4. July spring wheat climbed 21 3/4 cents to $11.77 1/4. Wheat futures rallied following reports India’s government cut its estimate for the country’s 2021-22 wheat crop and may restrict exports.

Cotton: July cotton soared 468 points to 154.76 cents per pound after posting a contract high for the fifth straight session. Cotton futures were supported by tight domestic supplies and export demand. New-crop cotton was supported by adverse weather in key growing areas, including West Texas.

Cattle: June live cattle fell 50 cents to $134.825, while August feeder cattle fell 7.5 cents to $176.20. Live cattle futures fell for a second day in a row as recent weakness in wholesale beef raised demand concern. Choice cutout values rose 19 cents to $259.74, after dropping $3.00 Tuesday. Movement was strong at 131 loads.

Hogs: June lean hog futures rose $2.90 to $105.10, the contract’s first gain in four sessions. June hogs gained for the first session in four in a corrective bounce from sharp declines over the past two weeks and hopes for stronger retail demand as the summer grilling season nears. Pork cutout values fell $1.73 today to $103.83, near a four-week low, on light movement of about 244 loads.