Corn continued recovering from 2015 lows Thursday night. Little news concerning corn emerged overnight and the financial markets seemed very quiet. Those seemed to open the door to buying from pragmatic and technically inclined traders thinking recent losses have been overdone. They may also be thinking recent forecasts for Midwest dryness are a harbinger of summer weather markets. July corn futures rose 2.75 cents to $3.5625/bushel shortly after sunrise Friday, while December added 2.75 to $3.7275.  

The soy complex is trading narrowly mixed. News reports indicating a conciliatory attitude among leaders of Argentine workers disrupting that countries soy transport and processing industries seemed rather negative for the short-term U.S. outlook, while the domestic industry’s handle on the current plantings situation seems rather tenuous. Soyoil stalled despite supportive news from the palm and crude oil markets. Meal is mixed. Pre-weekend position squaring seems likely to be a feature of today’s action. July soybean futures gained 0.5 cent to $9.265/bushel early Friday morning, while July soyoil was unchanged at 32.06 cents/pound, and July meal slid $0.7 to $304.1/ton.  

Drying forecasts reportedly sank the wheat markets overnight. The latest weather forecasts for the southern Plains point to drier and warmer conditions, thereby implying improving growth for winter wheat in the region. Wheat futures reacted negatively and hardly reacted to an early-morning announcement that Russia will re-impose its wheat export tax this summer. That was apparently expected. July CBOT wheat futures sank 1.25 cents to $4.875/bushel Thursday night, while July KC wheat dipped 1.5 cents to $5.0875/bushel, and July MWE wheat lost 2.25 to $5.4475.  

Cattle futures posted impressive Thursday gains. Although wholesale beef prices proved weak again yesterday, cattle futures seemed to ignore that bearish influence and surged rather dramatically. The market has recently given the strong impression that cash cattle prices are holding up much better than expected, thereby pulling discounted futures upward. Big Thursday afternoon beef losses may weigh on today’s opening. June live cattle futures jumped 1.02 to 153.50 cents/pound in late Thursday action, while August cattle leapt 1.32 to 152.75. Meanwhile, August feeder cattle futures soared 3.52 cents to 224.95 cents/pound, and November feeders vaulted 2.35 to 220.27.     

Growing cash market firmness boosted CME hogs. Hog and pork traders have been anticipating seasonal price weakness through early June, but this week’s cash market action has apparently proven much stronger than anticipated. Nearby futures also seemed to threaten a technical breakout to the upside yesterday. However, big late-day pork losses suggest a weak Friday opening. June hog futures surged 0.82 cents to 84.60 cents/pound as CME markets settled Thursday, while December moved up 0.30 to 70.10.      

Cotton built on its late-Thursday rebound. Thursday afternoon U.S. dollar weakness seemingly sparked a big cotton market comeback, with the move likely being exaggerated by bullish bargain hunting and active short covering. Fiber prices sustained the momentum overnight, despite talk that forecasts for drying weather will allow farmers to plant cotton aggressively in the near future. However, technical resistance may emerged at slightly higher levels and cap late-week gains. July cotton surged 0.51 cents to 64.84 cents/pound in early Friday trading, while December futures advanced 0.54 to 65.60.