CBOT futures closed steady to lower with prices testing both sides of unchanged. The main factors on traders’ minds are the expanding cases of H5N5 avian influenza and unfavorable weather for corn. The corn crop is not going to have a quick start as most of the Corn Belt is predicted to have below-normal temperatures through the first week of May. However, drier soils should promote fieldwork. http://www.cpc.ncep.noaa.gov/products/predictions/814day/index.php

Traders worry that bird flu will destroy more chickens and turkeys and have a material effect on feed demand. To date, the impact is minimal. Bird flu has not impacted broiler producing areas. If it moves into these southern states, traders will expect a bigger impact on corn and soybean meal use. Warmer, drier weather as spring progresses should work against the spread of the disease.

Cattle futures closed mostly lower with minimal price changes in feeder futures. Cash cattle and beef markets are weighing on futures. Boxed beef values finished about a dollar/cwt lower than the midday quotes. Choice carcasses up 0.24 at 260.06; Select down 0.03 at 249.52. Today’s USDA cold storage report showed beef, pork and chicken stocks down slightly from last month but up significantly from a year ago.

Lean Hog futures fell sharply today, reversing Tuesday’s big gains. Cash hog and pork markets couldn’t support LH futures. FOB Plant Pork closed down 1.13 at 67.48 with weaker values for ham, loin and rib cuts; belly’s value jumped over 6 percent.

Corn May unch 372; Jly unch 379; Dec unch 397 Bean May -5 970; Jly -5 972; Nov -3 954 Meal May unch 315; Oct -1 309 Oil -26 3156 Wheat Jly -1 499; Dec -1 523 KC -2 517; MGE -2 556 Oats -1 259 Rice +17 1015

LC Apr unch 15630; Jun -70 14602; Oct -75 14680 FC Apr -10 21255; Aug -17 20845; Oct +5 20675 LH May -90 7070; Jun -165 7595; Oct -170 6982 Milk May +5 1650; Jun +19 1663

US$ steady

Dow +89 18038 SP +11 2108 NAS +21 5035 Tran +47 8863 VIX -.45 12.80 -3.4%

WTI -39 5622 Brent +64 6272 Gas +4 193 NG +2 264 HO +1 187 Eth -1 160 Gold -16 1187 Slvr -25 1576

2-yr +.025 0.553% 5-yr +.057 1.396% 10yr +.072 1.986% 30yr +.082 2.669%