Corn futures are called 7 to 8 cents higher. Overnight trade at 6:45 am CT was 7 1/2 to 7 3/4 cents higher. The market is rebounding from the losses on Tuesday. Strength in Dow Jones futures and weakness in the dollar will provide commodity markets some support. Declining yield and production ideas will be an underlying supportive factor. Hot and dry weather last week further weighed on crop condition ratings. Good to excellent rated corn fell to 52 percent of the crop, down 2 points from the previous week.
Soybean futures are called 8 to 9 cents higher. Overnight trade at 6:45 am CT was 8 1/4 to 8 3/4 cents higher. Fund buying returned to the market overnight following the losses on Tuesday. An expected rebound in the stock market this morning and weakness in the dollar will be supportive. The prospects for declining yields and production remain a supportive factor. Good to excellent rated soybeans last week fell to 56%, down 1 point from the previous week.
Wheat futures are called 7 to 10 cents higher. Overnight trade at 6:45 am CT was 6 1/2 to 7 1/4 cents higher at the CBOT, 8 3/4 cents higher at the KCBT and 10 1/4 cents higher at the MGE. The market is being supported by weakness in the dollar and spillover support from corn. Supportive factors include the dry conditions in the southern Plains that could hamper HRW wheat seeding and emergence. But gains will be limited by bearish global supply/demand fundamentals. Export demand for U.S. wheat remains sluggish as competition for exports has increased this year.
Cattle futures are called steady to higher. Despite outside market weakness on Tuesday, cattle futures were able to rally. Cash trade is expected to be steady to firm this week. However, gains will be limited by reports that weekend beef clearance was just alright. Boxed beef prices were lower yesterday in light movement. Choice cutouts were down 8 cents and select cuts were $1.44 lower.
Lean hog futures are called steady to higher this morning. Short-covering from the losses on Tuesday are expected to support the market. However, gains will be limited by bearish cash fundamentals. Pork cutouts were 77 cents lower yesterday and cash trade was down over $1 on a national average. An expected rebound in the stock market and weakness in the dollar index overnight will provide some support.
Cotton futures are trading higher this morning. Strength in the outside markets overnight is helping support prices. Most traders are gea5ring up for the Supply/Demand report due out on Monday, September 12. At 6:30 am CT, December cotton was 117 points higher.