Corn futures are called 5 to 8 cents lower. USDA’s ending stocks projection of 846 million bushels was down 2 million from last month, but was about 100 million above trade expectations. USDA raised the crop production estimate slightly to 12.358 billion bushels, up 48 million from last month while traders were looking for a small decline. Quarterly stocks as of December 1 were 9.642 billion bushels, well below last year at this time but about 250 million above trade expectations.

Soybean futures are called 20 to 30 cents lower. USDA tweaked the 2011 crop to 3.056 billion bushels, up 10 million from last month. But ending stocks were well above trade expectations at 275 million bushels as SUDA cut exports and crush projections. December 1 quarterly stocks at 2.366 billion bushels are above a year ago and about 40 million above trade expectations.

Wheat futures are called 15 to 25 cents lower. USDA’s winter wheat seedings estimate of 41.9 million acres was about 1 million above trade expectations. HRW wheat was pegged at 30.1 million (up 700,000 acres from trade estimates) and SRW was estimated at 8.37 million acres (up about 600,000 from trade estimate). December 1 quarterly stocks were slightly supportive at 1.656 billion bushels, down about 40 million from trade estimates. However, U.S. ending stocks were pegged at 870 million bushels verus trade estimates of 842 million. USDA raised world ending stocks to 210.0 million tonnes compared to 208.5 million tonnes last month.

Cattle futures are called steady to mixed. Significant cash business is not expected until later today or tomorrow. Boxed beef prices were lower on Wednesday with choice down $1.23 and select cuts down $1.39. Sluggish beef demand and poor packer processing margins will likely limit any gains in the cash market. But smaller showlists and short-bought packers could help limit weakness.

Lean hog futures are called steady to higher. Cash market turned higher on Wednesday and packer raised bids to fill slaughter needs. However, gains will be limited by the 46 cent decline in pork cutouts. Weakness in the dollar index overnight is a bullish factor for pork exports.

Cotton futures are trading lower this morning. USDA pegged production at 15.67 million bales, slightly above trade expectations. Ending stocks are projected to be 3.7 million bales, up 200,000 from last month and above pre-report trade expectations of 3.38 million bales.