Risk Aversion in Commodities Persists
Corn: March corn fell 1 cent to $6.52 3/4, a mid-range close after trading the lowest level since Dec. 20. Corn traded lower for the fifth straight session after firming slightly overnight on spillover weakness in the soy complex and persisting demand concerns.
Soybeans: March soybean fell 12 3/4 cents at $14.70 3/4 and nearer the session low. March soybean meal rose $2.20 at $464.90 and nearer the session high. March bean oil dropped 43 points at 62.42 cents and nearer the session low. Soybean futures again fell victim to speculator weak long liquidation and profit taking this first trading week of the new year.
Wheat: March SRW rose 1 1/4 cent to $7.46 3/4, a mid-range close after reaching the lowest level since Dec. 9. March HRW fell 1 cent to $8.39 3/4, while March spring wheat rose 5 1/2 to $9.09. SRW wheat futures dropped to their lowest level in nearly 4 weeks early in the session as demand concerns loom.
Cattle: Nearby February live cattle futures ended Thursday up 7.5 cents to $157.35, whereas March feeder futures tumbled $1.675 to $186.55. The cash cattle situation still seems quite supportive, as indicated by this week’s usual light early trading, at $158.04.
Hogs: Hog futures remained weak Thursday; the nearby February contract led the way lower with a $1.55 drop to $82.525. The CME lean hog index continues indicating cash market weakness.