Lean hog futures traded sharply lower on Friday. The market was pressured by losses in pork cutout values on Thursday and a weaker tone in the cash market. Strength in the dollar was also bearish as it could slow demand for U.S. pork. There is also concern that near record pork prices could slow domestic demand for pork. June is $1.53 lower at $101.10 and July is $1.28 lower at $100.85.
Corn futures closed mostly lower on Friday. Fund selling pressured old-crop contracts to close out the week. There were reports that some Canadian feed wheat was being imported into the U.S. for feed. Concern about inflation in China also prompted some weakness in commodities. March consumer inflation in China grew to 5.4%, the largest in two years, sparking concern that the government could tighten monetary policy. New-crop months were mixed with support from concerns about potential planting delays. May ended 12 1/4 cents lower at $7.42 while December was 1/2 of a cent higher at $6.56.
Soybean futures traded mixed on Friday. Old-crop futures were mixed today while new-crop traded lower. Front end contracts found some light support from short-covering following recent losses. However, new-crop was pressured by concern that China could tighten monetary policy, following the March consumer inflation number was reported at 5.4%, the highest in two years. There is already concern that China will cancel more export sales with the U.S. However, those fears have been somewhat eased by USDA reporting this morning the sale of 165,000 tonnes of U.S. soybeans to China for 2011/12 delivery. May closed 3/4 of a cent higher at $13.31 3/4 while November was 5 1/2 cents lower at $13.39 3/4.