Corn futures are called steady to 1 cent higher. Overnight trade at 6:45 am CT was 1/4 to 1 cent higher. The market is expected to be choppy today. Outside markets could provide some light support as the dollar index is trading lower and crude oil is higher overnight. But technical selling and continued concern about the euro zone debt crisis will limit gains. Sluggish export demand remains a bearish factor as well.
Soybean futures are called 7 to 8 cents higher. Overnight trade at 6:45 am CT was 7 1/2 to 8 cents higher. The market is being supported by some renewed export demand and outside market support. The dollar index was trading lower overnight while crude oil is higher. Export sales last week were improved thanks in large part to sales to China. Traders are looking for more business with China. The outlook for the soybean crop in South America looks favorable, but some weather premium will likely be left in the market with the threat of some dryness developing due to La Nina weather conditions.
Wheat futures are called mixed. At 6:45 am CT December wheat was 4 1/2 cents higher at $5.97, KCBT December was 1 1/4 cents higher while the MGE was 1 1/2 to 2 cents lower. Light short-covering from technically oversold levels and weakness in the dollar index overnight will provide some support for futures. However, gains are expected to be limited by sluggish export demand and the bearish global supply/demand fundamental outlook.
Cattle futures are called steady to mixed. Choppy trade is expected ahead of the Cattle on Feed report due out this afternoon. Pre-report trade estimates are for on feed numbers to be up 4%, placements in October down 1% and October marketings up 1%-2%. Light cash trade developed in the South at down $2-$3 from last week. Beef prices have strengthened this week, although they were little changed on Thursday.
Lean hog futures are called steady to lower. Pork cutouts turned lower again on Thursday and cash prices were lower again. Packers are not expected to need to buy many hogs today as most needs are covered for the holiday shortened slaughter next week. Losses will be limited by ideas of strong export demand and weakness in the dollar index overnight.
Cotton futures are trading higher overnight. Short-covering from the losses on Thursday and some outside market support have helped futures turn higher overnight. However, gains are being limited by continued fears of a global recession. At 6:30 am CT, December cotton is 60 points higher.