Closing Market Report- 3/3/21- Grains Weaker on Wednesday, Livestock Higher

May contracts of corn and all three wheats finished lower Wednesday as traders anticipate another week of slow export sales in Thursday morning’s report. May soybean meal was down $6.00 early, but closed down $2.90 with concerns about the resurgence of African swine fever in China.

Corn and wheat were down on heavy selling related to slowing export sales and fund liquidation. However, rising cash basis levels and slow farmer selling is providing underlying support. Early word from the Mato Grosso soy harvest is yields and quality are taking a hit with continuous heavy rains. As a result of the rains some safrinha corn may have to be replanted.

It’s been a peculiar day for the livestock contracts, as early in the day support flourished. However, as the noon hour approached, the market’s support was quick to fade in the live cattle contracts. By the close however, support came back into live cattle. The lean hog contracts are back to trading higher after many thought the market was set on scaling lower.

Farm and Ranch Director Jesse Allen has the latest: https://lightningstream.com/ajax/GetODFile.ashx?call=MIDWEST&fileid=1406