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Market Recap: USDA Reports Deliver Blow to Soy Futures

  Program 6872  (download mp3)
  Posted on Mon, Dec 12, 2011


Lean hog futures finished mostly lower as traders weighed a rise in wholesale pork prices against growing concerns about expanding supplies. December hog futures rose 57 to 85.40, February hog futures fell 82 to 86.42.
 

Live cattle broke downward Friday as cash prices weakened and sharp drops in wholesale prices unnerved some traders. December live Cattle fell 112 to $118, January feeder cattle fell 37 to $142.

US wheat futures ended mixed, with Chicago futures falling on Friday's USDA supply-and-demand report. March wheat in Chicago fell 1 to $5.96, and March wheat in KC added 3 to $6.61.
 

US corn futures ended lower as USDA reports global grain supplies continue to grow. March corn ended down 6 to $5.94.
 

US soybean futures slide to 14-month lows as the USDA forecast higher-than-expected inventories, putting renewed pressure on prices as buyers are less concerned about the availability of soy stocks in the face of favorable crop outlooks for South American beans, Soy-product slumped along with beans. January soy ended down 25 ½ at $11.07, January soy oil ended down 85 at 49.60 while soy meal slid $7.40 to $276.90.

Even though USDA pegged domestic cotton production lower on Friday, world stocks increased, driving futures lower. March cotton fell 162 to close at $90.43, and the May contract fell 194 to $90.05.

Gold futures rose on Friday on cautious optimism that the European Union's plan to strengthen member states' fiscal discipline would help stave off a financial crisis there. February gold rose $3.40 to at $1,716.80, Silver for March delivery rose 71.5 cents to t $32.25.
 

Oil futures closed up more than a dollar on Friday, with a late-day rally capping a choppy session whipsawed by mixed signals from Europe and China. January crude ended the day up $1.07 at $99.41 a barrel, January gasoline gained 2.95 cents to $2.59 a gallon, and January distillates lost 1.73 cents ending at $2.91 a gallon.
 

Natural gas futures sold off sharply Friday, as traders focused on elevated U.S. gas supplies and the likelihood that they will stay that way through the winter. January Natural gas fell 14 cents to $3.31
 

U.S. stocks soared into the weekend on Friday as Wall Street cheered crucial progress in the eurozone to move the embattled currency union in the direction of a much-needed fiscal marriage. The Dow gained 186 to close at 12,184, the Nasdaq ended the week at 2,646, up 50 and the S&P 500 gained 20 to close at 1,255.
 

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  Market Recap: Hog Futures Continue to Fall on Weakening Demand
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