After the Bell | October 10, 2022

Corn surpasses $7 for first time since June, ends at 3 1/2-month high; winter wheat soars to three-month high on Russia concerns.

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

Corn: December corn rose 15 cents to $6.98 1/4, the contract’s highest close since $7.01 1/2 on June 21, but down from a surge above $7. Corn futures traded above $7 for the first time since June as the market joined a rally in winter wheat fueled by Russia’s intensified attacks on Ukraine, which raised the prospect of disruptions to grain shipments from the Black Sea.

Soybeans: November soybeans rose 7 cents to $13.74, after rising earlier to $13.98 3/4, the contract’s highest intraday price since Sept. 29. December soymeal rose $5 to $405.70. December soyoil fell 54 points to 66.06 points. Soybeans climbed earlier to highs for the month on spillover support from rallying corn and wheat markets but erased much of the early strength by the close.

Wheat: December SRW wheat soared 57 3/4 cents to $9.38, the contract’s highest closing price since June 29. December HRW wheat rallied 55 1/2 cents to $10.24 1/4, the highest close since June 22. December spring wheat rose 46 1/4 cents to $10/14 1/4. Wheat led a rally in the grain complex as escalation in the Russia-Ukraine war over the weekend raised questions over supplies out of the Black Seas region.

Cotton: December cotton rose the daily trading limit of 400 points, to 88.23, the contract’s highest close since Oct. 4. Cotton futures surged despite headwinds from some outside market markets, with the U.S. dollar surging near a 20-year high and crude oil under pressure.

Cattle: Feeder cattle tumbled to the lowest level in over four months on pressure from corn’s rally back above $7. December live cattle dropped near a two-week low as the U.S. dollar soared near a 20-year high, stirring worries demand for dollar-denominated commodities could be hampered.

Hogs: October lean hogs rose 80 cents to $93.75, while December hogs rose $2.45 to $79.60, the contract’s highest closing price since Sept. 23. Hog futures climbed on short covering and chart-based buying amid ideas the market may have overextended a recent slump that sent the market to 10-month lows last week. Cash hog market fundamentals are starting to improve just a bit. The CME lean hog index fell 12 cents to an eight-month low at $92.65 (as of Oct. 6), but is expected to gain 33 cents Tuesday.