CBOT futures closed steady to strongly higher, with wheat leading the market up. Wheat jumped over 2 percent on short-covering as traders fear that recent warm weather in the southern Plains will bring wheat out of dormancy and increase the risk of freeze damage later this month. There’s also concern for dry soils as this morning’s Drought Monitor Map shows slightly larger areas in/near Oklahoma classified as “Abnormally Dry”. The spec funds have a huge short position in wheat, so they reduced their risk. A weaker US Dollar today also supported CBOT futures. The sharp late-morning rally in wheat lifted corn and soybean futures from a morning sell-off, resulting in upper-range closing prices.

Cattle futures closed mostly lower as recent trading activity looks like a top, at least in the short run. Without stronger cash prices, futures should have trouble moving much higher. Boxed beef was weaker today. Choice carcasses down 0.30 at 219.75; Select down 0.29 at 211.64. Midday quotes were -.29 and -.76. Negative packer margins hang over the cattle market.

Lean Hog futures closed narrowly mixed but ended near the highs of the day. LH sold off in first 45 minutes of trading and then rallied through the rest of the day (closing at 1:05 pm Central). Cash hog and pork markets changed very little today. Analysts are generally optimistic for higher prices. Pork export sales this week were strong and the US Dollar fell today, which is supportive. FOB Plant Pork ended down .33 at 75.43, the same as the midday quote. Loin value was off 4 pct with 2 pct gains in belly and butt values.

Corn May unch 356; Jly unch 361; Dec +1 375 Bean May +2 864; JLy +2 870; Nov +3 878 Meal unch 265 Oil +24 3061 Wheat May +9 460; JLy +9 466 KC May +11 466; MGE +9 498 Oats +6 186 Rice -1 1050

LC Apr -85 13545; Jun -30 12562; Oct +10 12125 FC Mar -70 15760; May -57 15590; Aug -12 15625 LH Apr +30 7035; Jun unch 8070; Aug -2 7977 Milk Mar +14 1377; Apr +19 1352

US$ -.6% Dow +45 16944 SP +7 1993 NAS +4 4707 Tran +85 7602 VIX -.39 16.70

WTI -9 3458 Brent +7 3700 Gas -1 130 NG -4 164 HO +1 112 Eth unch 138 Gold +16 1258 Slvr +12 1515

2-yr -.004 0.849% 5-yr -.004 1.343% 10yr -.013 1.835% 30yr -.031 2.661%

Lexington, KY - Blue Grass Stockyards Cattle Weekly Summary Report for the week ending 03/01/16 Receipts: 1875 Last Week: 1984 Year Ago: 1550 Compared to last week featherweight steer calves 10.00 to 15.00 higher, middleweights steady to 5.00 higher over 700 lbs steady to 2.00 lower. Featherweight heifers sold 5.00 to 10.00 higher, middleweights steady to 2.00 higher and yearling heifers sold 3.00 lower. Slaughter cows sold steady to 1.00 lower. Slaughter bulls sold steady. Market very active for lightweight calves and weaned 500-650 lb calves this week.