By: NATHAN STUEDLE
GRAINS:
July corn closed up 3/4 cent and December corn was up 1 cent. July soybeans closed up 2 1/4 cents and November soybeans were up 2 3/4 cents. July KC wheat closed down 6 1/2 cents, July Chicago wheat was down 3 1/2 cents, July Minneapolis wheat was down 4 1/4 cents.
Row-crop futures were, for the most part, well supported through Wednesday as price action was mixed. Corn and soybeans moved higher, the latter likely to remain supported as details will surely emerge on Thursday regarding the trade summit between President Trump and President Xi of China. President Trump arrived in Beijing on Wednesday. Wheat futures turned lower on profit-taking following Tuesday's limit higher session following the bullish and shockingly low production estimate from USDA. In outside markets, crude oil futures were lower in quiet trade as traders also await results from the Trump/Xi meeting for hints toward any possible resolution to the standstill in the Persian Gulf.
LIVESTOCK:
After an emotionally charged last couple of days, where volatility and headline trading became the live cattle complex main focus, the market seems to be breathing again as it's trading higher into the noon hour. June live cattle are up $4.45 at $252.15, August live cattle are up $5.20 at $246.27 and October live cattle are up $4.20 at $238.07. Bids have been renewed in the cash market, but at this point no new trade has developed following the light business that happened earlier in the week, but more is expected later in the week. So far this week, Southern live cattle have traded at $260, which is $3.00 higher than last week's weighted average, and Northern dressed cattle have traded at mostly $400, which is $2.00 to $3.00 lower than last week's weighted average.
The feeder cattle complex is also trading higher, which is a sign of technical relief as the market is now moving further away from its 100-day moving average. The market is still below its 40-day moving average, but as long as the live cattle complex continues to trade higher, feeders will likely continue to trade in the same higher manner through the afternoon and though the close.
Believe it or not, even the lean hog complex is higher! Traders are pleased to see the uptick in demand as the morning pork cutout value is higher. What's most encouraging to note about the midday cutout value is it's being supported by the majority of the cuts and the only cut lower Wednesday morning is the picnic.