Corn futures are called 4 to 5 cents higher following overnight trade that ended that way in the most actively traded contracts. Prices are expected to open firm on speculative buying after profit-taking and fund rebalancing trimmed gains on Tuesday. The tight old-crop ending stock estimates and increased forecasts for ethanol use will continue to provide support. However, anticipation of one more day of index fund rebalancing could limit gains.

Soybean futures are called 5 to 6 cents higher. Overnight trade was 4 to 7 3/4 cents higher. Strength in corn and concerns that more acreage will shift from soybeans to corn this spring will be supportive. However, bearish old-crop fundamentals are expected to limit buying interest. Growing conditions remain generally favorable in South America.

Wheat futures are called 2 to 4 cents higher. Overnight CBOT trade was 3 to 6 1/4 cents higher and the KCBT was 1/2 to 1 3/4 cents higher. After giving back a large part of the recent rally on Tuesday, we look for prices to stabilize this morning. Strength in corn should provide some spillover support, but buying interest will be limited by sluggish export demand and improved moisture levels in the Plains.

Cattle futures are called steady to higher. Support is expected to come from rising beef prices and the strong rebound from early weakness in the front end contracts yesterday. Packer margins last week improved to the best level since last summer. The strong margins should boost demand for cash cattle this week.

Lean hog futures are expected to open higher. Generally steady to firm cash markets and the $1.61 jump in pork cutouts yesterday will be supportive. The increased pork value should encourage packers to raise bids, although increased marketings as temperatures moderate this week will limit gains in the cash market.