Corn futures are trading lower at midday. Strength in the dollar following news that China had raised interest rates and improved crop condition ratings are weighing on the market. Crop conditions improved on point last week to 69% good to excellent, which is slightly above the 68% ten-year average. Weather forecasts for the next couple of weeks remain non-threatening for the crop. Losses are being limited by active export demand and strength in the cash market. September is 2 3/4 cents lower at $6.22 3/4 and December is 1 1/2 cents lower at $6.11.
Soybean futures are lower at midsession. Strength in the dollar and news that China has raised interest rates are weighing on futures. Soybean crop condition ratings improved 1 point to 66% good to excellent versus the ten-year average of 63%. Weather conditions are expected to remain generally favorable for crop development this week. Export demand has been been sluggish and weather forecasts do not indicate the need for additional weather premium at this time. August is 3 1/4 cents lower at $13.19 and November is 1 1/2 cents lower at $13.16 1/2.
Wheat futures are trading lower at midday. Strength in the dollar and and weakness among most commodities are weighing on the market. Export competition is increasing as Russia and the Ukraine look to export wheat after limiting sales last year following the drought reduced crop. Winter wheat harvest was 56% complete as of Sunday, above the 5-year average of 52%. Spring wheat condition ratings improved to 70% good to excellent, up 1 points from the previous week. CBOT September is 7 1/2 cents lower at $6.28, KCBT September is 6 3/4 cents lower at $7.29 1/4 and MGE September is 1/2 of a cent lower at $8.32 1/2.
Cattle futures are trading lower at midsession. The cattle market is following the lead of other commodities, which are being pulled lower by strength in the dollar and an increase in China's interest rates. Cash cattle trade has not yet developed, but steady to firm business is expected. Reports indicate solid beef sales over the holiday weekend, but economic struggles domestically remain a concern for demand. August is 5 cents lower at $113.30 and October is 28 cents lower at $119.58.
Lean hog futures are higher at midday despite weakness in most other commodities. The market is being supported by futures discount to cash. Cash markets were mostly steady this morning as packers buy inventory for next week. But gains in the futures market are being limited by strength in the dollar. July is 18 cents higher at $95.95 and August is 40 cents higher at $93.75.