Corn futures are called 5 to 7 cents higher. Overnight trade at 6:45 am CT was 5 1/2 to 7 cents higher. The market was able to turn higher on Thursday in part by rumors that China was looking to buy U.S. corn. That and outside market support are expected to support futures this morning. Crude oil and gold were higher overnight while the dollar index is lower. Planting news remains mixed. Good progress has taken place in the central and western Corn Belt, but more rain in the eastern Corn Belt and northern Plains will further limit planting in those areas.
Soybean futures are called 8 to 9 cents higher. Overnight trade at 6:45 am CT was 8 1/4 to 9 1/4 cents higher. Outside markets have helped provide support overnight. Strength in crude oil and gold and weakness in the dollar are supportive for crop markets. More rain in the eastern Corn Belt will keep ideas alive that some acreage intended for corn will be switched to soybeans. Gains will be limited by sluggish export demand. China has raised bank reserve requirements to slow inflation, which could further limit soybean demand.
Wheat futures are called 10 to 12 cents higher. Overnight trade at 6:45 am CT was 8 3/4 to 10 3/4 cents higher at the CBOT, 11 3/4 to 12 cents higher at the KCBT and 11 3/4 cents higher at the MGE. Short-covering is expected to support the market this morning following the strong losses this week. Continued weather concerns and outside markets will provide support. Winter wheat conditions ratings in the southern Plains remains poor and much of the wheat is beyond repair. Spring wheat planting delays remain a bullish concern in the northern Plains. Weakness in the dollar overnight is supportive for commodity markets.
Cattle futures are called steady to lower. Choice beef prices were down $2.41 on Thursday and cash prices were down generally $3 this week. Cash trade developed at mostly $112 this week, down $3 from the previous week. Losses are expected to be limit by ideas that warmer weather will help domestic demand improve seasonally and on strong export demand.
Lean hog futures are called higher on the open. Pork cutouts were up $2.64 on Thursday and cash prices were up $1 on average. Improved packer margins and tight supplies of market ready hogs should support cash prices again today. Retail buying looks to be improving as the grilling season heats up. Pork export demand also remains strong and weakness in the dollar index overnight will be supportive for exports.
Cotton futures are higher this morning. Short-covering from recent sharp losses and outside market support are pushing futures higher. At 6:45 am CT, July cotton was 335 points higher and December was 86 cents higher.