Effects from the historic US drought continued to ripple through livestock markets Friday, sending corn contracts higher and cattle and hog futures lower. Lean hogs were the session's biggest losers as traders continued to worry spiking feed costs will keep forcing producers to thin herds, leading to higher near-term supplies. August hogs tumbled 205 to 89.60, the October contract fell 237 to 75.85.
Cheaper pork is bearish for live cattle and most-active October cattle lost 72 to $124. Feeder cattle also felt pain from higher feed costs and August feeders lost 80 to $138.
US grain and soy futures settled higher, led by wheat. A positive US jobs report hammered the dollar, which leads traders to buy more commodities. Wheat got an extra boost from Goldman Sachs warning of upside risks to wheat prices in coming months due to dry weather in the former Soviet Union and elsewhere. Corn and soy were also supported by analysts estimating lower crop yields than previously expected. September wheat in Chicago gained 26 1/4 to $8.91, September wheat in KC gained 27 to $8.96, September corn jumped 16 to $8.10; and September soybeans gained 12 1/4 at $16.35
Cotton futures jumped 300 points in intraday trade thanks to the sharply weaker dollar and booming equities. December new crop cotton 297 at 73.94, and near month October gained 278 to $73.22.
August gold gained $18.40 to close at $1,605.50, and September silver gained 51 cents $27.50.
Crude-oil futures vaulted almost to close above $91 a barrel after better-than-expected U.S. data fueled hopes that economic strengthening would lead to increased oil demand.
September crude rose $4.27 to $91.40 a barrel, Front-month September gasoline rose 6.14 cents to $2.93 a gallon, and September distillates rose 8.38 cents to $2.92 a gallon.
Natural-gas futures fell for a fourth day Friday amid worries over rising inventories as the strong summer-demand season wanes. September- natural gas fell 4.3 cents to $2.87.
Wall Street rallied to its highest level since early May on Friday on a stronger-than-expected jobs report and renewed hope European authorities would act to contain the euro zone debt crisis. The Dow gained 217 to close at 13,096, the Nasdaq closed at 2,967, up 58 and the S&P 500 jumped almost 26 to 1,390.