Corn futures are called steady to mixed. Overnight trade was mostly 1/4 cent lower, but some deferreds were as much as 1 1/4 lower. Choppy trade is expected on consolidation ahead of the Crop Production report due out tomorrow morning. Pre-report estimates average 10.8 billion bushels. Buying interest will be limited by generally favorable weather conditions with moderate temperatures across most of the Corn Belt and rain in Iowa.

Soybean futures are called 1 to 2 cents lower. Overnight trade was 1 1/2 to 1 3/4 cents lower. The market bounced yesterday from oversold levels, but we look for choppy action today as traders position for the Crop Production report. Pre-report estimates average around 3.03 billion bushels. Generally favorable weather across much of the Midwest will limit buying interest as Iowa is picking up more rain.

Wheat futures are called mixed. Overnight CBOT trade was 1/4 to 1 cent lower and the KCBT was 1 cent higher to 1 1/4 lower. Market action is expected to be limited ahead of the USDA production report. The CBOT and MGE have held above technical support, but the KCBT has slipped below. Spring wheat harvest pressure should begin to fade as harvest has moved past the halfway market. USDA is expected to lower spring wheat production on Friday morning to 428 million bushels from 465 million.

Cattle futures are called higher on the open. Moderate trade developed yesterday at $85, which was above early week expectations. Demand appears to be strong as wholesale demand ahead of the Labor Day is helping beef prices. Boxed beef prices were $1.16 to $1.70 higher on Wednesday. Reports of good demand for U.S. beef in Japan will also provide some underlying support.

Lean hog are called steady to lower. Cash markets are expected to be steady to lower as pork cutouts fell 80 cents yesterday. Some more long liquidation is expected this morning as traders exit the August contract and sell some from the October contract, which had grown to record high open interest.