Corn futures are called steady to 1 cent lower. Overnight trade was 3/4 of a cent lower to 1/4 higher. After pushing above last week's high on Monday, futures reversed to close lower which is expected to prompt light technical selling on the open. However, losses should be limited by futures holding above Friday's high.



Soybean futures are called 1 to 2 cents lower. Overnight trade was 1 1/2 to 2 cents lower. The market remains concerned about dry conditions in Argentina and parts of southern Brazil during this critical time for production. However, we look for speculative buying to take a breather this morning. Large U.S. stocks remain an underlying bearish factor.



Wheat futures are called mixed this morning. Overnight trade was 1/4 of a cent lower to 1/2 higher. Poor crop conditions in the southern Plains will remain a supportive factor. However, fund buying may take a break this morning following recent strength. The KCBT is waiting for results expected on Wednesday for the recent HRW tender by Iraq.



Cattle futures are called steady to lower. Packer margins continue to get hit by falling beef prices. Boxed beef prices were $1.14 to $1.81 lower on Monday. However, with futures at their lowest level since Thanksgiving, do not count out some short-covering that would provide support for futures.



Lean hog futures are called steady to higher. The market is oversold and due for a correction, but continuing weakness in cash hogs is limiting upside potential. For futures to turn much higher, cash hog prices will need to show some strength.