Corn futures are called 2 to 3 cents lower. Overnight trade at 6:45 am CT was 2 1/2 to 3 1/4 cents lower. There is little news for the corn market to trade, but futures drifted lower overnight on continued concern over European debt. The dollar index is trading higher overnight while Dow Jones futures are lower. Losses are expected to be limited by light technical buying and ideas that the La Nina weather pattern will limit rainfall in Argentina that could limit corn production there.

Soybean futures are called 6 to 7 cents lower. Overnight trade at 6:45 am CT was 6 1/4 to 6 1/2 cents lower. Outside markets are expected to weigh on the market this morning. Strength in the dollar and weakness in Dow Jones futures overnight has been driven by continued concern about the European debt situation. Fundamentals are mixed. South American soybean crop projections have been rising, but there is concern that the La Nina weather pattern will limit rainfall during the growing season.

Wheat futures are called mixed on the open. Overnight trade at 6:45 am CT was 2 1/2 cents lower at the CBOT, 1/2 of a cent higher at the KCBT and 2 cents lower at the MGE. The wheat markets are expected to be mixed in consolidation trade. Strength in the dollar index and weakness in corn and soybeans are weighing lightly on the CBOT. A bearish factor is the increased global production estimates and the bearish world Supply/Demand fundamentals. But the KCBT is trading slightly higher overnight on short-covering.

Cattle futures are called steady to lower. Uncertainty about the cash market this week and long liquidation are expected to weigh on the futures market. Packer margins remain poor and a smaller slaughter schedule could weigh on the cash market this week. However, boxed beef have improved recently and beef exports appear to remain strong. Most recent export data from October show exports up 11% from last year.

Lean hog futures are called steady to mixed. Traders will be looking for direction as the cash markets are expected to be mostly steady today. Pork cutouts were up 66 cents on Tuesday. However, gains will be limited by ideas of declining export demand from China. October pork exports were strong, but there has been an absence of demand from China recently.

Cotton futures are trading lower this morning. Futures bounced on Tuesday from 16-month lows. However, futures are trading lower again this morning and demand concerns. European debt concerns are pushing the dollar index higher and Dow Jones futures are lower overnight. At 6:35 am CT march cotton was trading 79 points lower.