Market Recap: Wholesale Pork Prices Push Futures Lower
Lean-hog futures shook off mostly lower cash prices and further weakness in midday wholesale pork markets to end the day with solid gains in most contracts. August hogs hit a 1 1/2-week high as the market extended its rebound from a five-week low hit this past Friday. August lean hogs were up 75 at 96.30, October hogs rose 65 to 85.35
Live-cattle futures at the Chicago Mercantile Exchange Tuesday closed slightly lower as some traders and analysts held cautious views for beef demand and cattle prices in the near-term, but anticipated strength for later on into autumn. August live cattle closed down 32 at $122, October was down 27 at $126, August feeders ended down 10 at $152.
U.S. corn futures jumped Tuesday on lower reported crop ratings and worries that hot, dry weather could damage crops in the Farm Belt. Soybean futures on Tuesday also rose on lower crop condition ratings in the USDA report and concerns about unfavorable weather forecasts. Wheat futures ended flat to higher, with their gains limited as some traders who bought corn or soybeans paired those bets with sales of wheat futures. Condition ratings for spring wheat crops also declined in the USDA report.
September corn gained 9 to $5.45, August soybean gained up 21 1/2 to $14.75, September wheat in Chicago futures settled flat at $6.69, and the KC September wheat contract gained 2 ¾ to $7.03.
Cotton futures fell on heavy rains in Texas, the top U.S. cotton-growing state. December new crop Cotton lost 73 to settle at 84.37, and near month October fell 68 to 84.67.
Gold futures settled higher Tuesday as a weaker dollar and higher inflation data bolstered investor appetite for the hard asset. August gold rose $6.90 to $1,290.40, August silver gained 11 cents to $19.92.
Crude-oil futures settled lower Tuesday, while gasoline futures rallied to a four-month high due to refinery outages. Analysts attributed the move to a series of refinery outages, which tightened gasoline supplies during the peak summer driving season.
August crude fell 32 cents to $106 a barrel, August gasoline gained 3.14 cents to $3.13 a gallon, and August distillates gained 2.08 cents to $3.04 a gallon.
Natural-gas futures barely budged Tuesday, as traders sought to assess natural-gas demand amid a blistering heat wave in the Northeast that is expected to give way to more moderate conditions later in the month. August Natural gas gained a fraction to $3.67
On Wall Street, stocks eased in low volume on Tuesday with the S&P snapping its eight-day streak after disappointing sales from Coca-Cola. Investors turned cautious on the day before the Federal Reserve chairman’s congressional testimony. The Dow dropped 32 to 14,451, the Nasdaq closed at 3,598, down almost 9 and the S&P 500 fell 6 to 1,676.