CBOT futures are trading higher, correcting some of yesterday’s large losses. The outside markets, including a weaker US dollar, are friendly today.   In the soy complex, soybean meal is gaining relative to soybeans and soybean oil futures; this was true on Thursday also.

  Cattle futures are only slightly higher supported by the outside markets and optimism about this afternoon’s Cattle on Feed Report. The September 1^st on-feed number should be nearly unchanged from a year ago.

  Lean hog futures are trading higher, supported by improving cash markets and a positive technical chart picture.

Corn Dec +3.5 749.5; Mar +3 752; Dec’13 +3 643

Bean Nov +3 1622; Mar +7 1583; Nov’13 +20 1359   Meal Oct +2.6 485;  May +5 442   Oil -11 5452

Wheat Dec +15 894; Jly +6 869.5   KC +11 921;  MGE +13 954

LC Oct +15 12580; Feb +30 13215;

FC Sep -2 14410; Oct +22 14695; Jan +22 15042

LH Oct +57 7542; Dec +42 7462

Milk Sep -1 1894; Oct unch 2028

Oats -1 372

Rice +12 1531

US$ -.2%

Dow +.3%

SP +.3%

NAS +.5%

Tran unch

 VIX -1.3%  13.89

WTI -.1%

Brent +1%

Gas +.8%

NG +2.7%

HO +.8%

Eth +.4%

Gold +.9%

Slvr +1.2%

5-yr -.001 0.688%

10yr +.014 1.779%

30yr +.028 2.972%

Blue Grass Stockyards Cattle Weekly Summary Report for the week ending 09/18/12 Receipts:  2,243   Last Week:  2,894   Year Ago:  3,115

   Compared to last week, steer calves sold firm with very good demand.  Heifer calves sold steady to 1.00 higher with good demand.  Yearling steers sold firm with very good demand.  Yearling heifers sold 2.00 higher in a light test.  Slaughter cows sold 2.00 to 5.00 lower with light demand.  Slaughter bulls sold steady to 1.00 lower with moderate demand.

   Total supply included 07% slaughter cows, 02% slaughter bulls, less than 1% replacements and 91% feeders.  Feeder supply 42% steers, 23% bulls, 35% heifers with 45% of feeders weighing over 600 lbs.