Corn futures are called 3 to 4 cents lower. Overnight trade at 6:30 am CDT was 3 1/4 to 4 cents lower. Although crop conditions may slip a little in the Crop Progress report this afternoon, crop ratings and yield prospects remain strong. Some drier weather this week should benefit the crop in areas that are too wet. Weather forecasts will continue to be watched closely. Outside markets overnight were slightly bearish with some strength in the dollar and weakness in crude oil.
Soybean futures are called 1 to 2 cents higher. Overnight trade at 6:30 am CDT was 1 to 2 cents higher. Wet weather over the Midwest has raised concern about crop conditions and that some acreage intended for soybeans may not get planted. However, drier weather is forecast for this week. USDA will release the Acreage report on Wednesday. Tight old-crop stocks and firm cash market s will be supportive for front end futures.
Wheat futures are called 2 to 3 cents lower. Overnight trade at 6:30 am CDT was 1 1/2 to 2 cents lower at the CBOT, 2 to 3 cents lower at the KCBT and 2 to 3 1/4 cents lower at the MGE. Increased winter wheat harvest pressure is expected to weigh on the market. Warm and dry weather in the Plains is helping harvest. Report of good protein levels in Kansas wheat has also weighed on the MGE recently. Losses will be limited by the excessive wet weather in Canada that will limit their wheat acreage.
Cattle futures are called steady to higher. Ideas of steady cash trade this week will be slightly supportive. Packer margins are decent as cutouts were slightly higher last week. Competition from other meats should be lower as lower hog numbers were confirmed in the Hogs and Pigs report and poultry exports will begin again to Russia.
Lean hog futures are called steady to higher. The quarterly Hogs and Pigs report was near trade expectations and should be fairly neutral for the futures market. All hogs and pigs as of June 1 were pegged at down 4% from last year and the breeding herd was down 3%. The resumption of poultry export to Russia should reduce supplies of poultry that compete with pork. Cash markets are called steady to start the week.