Corn futures are called 1 to 3 cents lower. Overnight trade was 3/4 to 3 cents lower. The market is technically overbought and due for a correction after the December contract gained 43 1/2 cents last week. Harvest progress has done little to slow the recent rally. Harvest activity will be slowed this week by wet and cool weather in the Corn Belt.

Soybean futures are called 2 to 3 cents lower. Overnight trade was 1 3/4 to 3 cents lower. We look for prices to pullback some from recent gains. Large supplies of soybeans and ideas of a large crop will be underlying bearish factors. However, demand remains strong. Export commitments are running over 50% above year-ago levels. NOPA will release a new monthly crush number this morning.

Wheat futures are called 4 to 6 cents higher. Overnight CBOT trade was 5 3/4 to 8 1/2 cents higher and the KCBT was steady to 4 cents higher. Strength overnight indicates that speculators are still in the buying mode. Fundamentally, the market will continue to draw strength from the tightening global stocks of wheat. However, after such a strong rally and new contract highs at the CBOT and KCBT, wheat prices are vulnerable to a rather steep setback at anytime.

Cattle futures are called mixed in light volume. Traders will be trying to determine how the cash market will react this week. Market ready supplies remain relatively tight, but packers have slowed slaughter due to poor margins. Boxed beef prices have shown some improvement recently. Packers are believed to be short on supplies, but showlists will likely be a little larger.

Lean hog futures are called steady to higher. Spillover buying and ideas of steady to firm cash trade early this week will be supportive. Pork cutouts have help up relatively well given the large slaughter, but if pork prices turn lower, the cash market and futures could quickly turn lower again.