Corn futures are trading firm at midsession. Gains are being attributed to short covering amid technically oversold conditions. Export demand remains strong with South Korea buying U.S. corn overnight. However, gains are expected to be limited by the market's focus on rising production prospects due to generally favorable August weather. September is 2 cents higher at $2.24 and December is 1 3/4 cents higher at $2.40 1/4.



Soybean futures have traded higher most of the session, but are mixed at midday. Oversold conditions encouraged a light short-covering rally, but futures have returned to mixed as Midwest weather conditions are generally favorable for crop conditions. September is unchanged at $5.56 1/2 and November is 1/4 of a cent higher at $5.69 1/2.



Wheat futures are mixed at midday. Follow-through from yesterday's bounce initially supported prices. Talk that Iraq is seeking wheat and more dry weather in Australia and Argentina are bullish factors. However, the market has slipped backed to mixed levels due to technical weakness. CBOT Sep is 3/4 of a cent lower at $3.76, KCBT Sep is 2 1/4 cents higher at $4.52, and MGE Sep is 1/4 of a cent lower at $4.53.



Cattle futures are trading lower at midsession. After a firm open, the market quickly turned lower on concern that the recent rally in beef prices will soon run out of steam as wholesale buying ahead of Labor Day slows. Traders are also gearing up for the Cattle on Feed report, which is expected to show large July placements. August is 15 cents lower at $87.60 and October is 43 cents lower at $91.28.



Lean hog futures are mixed at midday. Spread activity is supporting the October contract as did the $1.51 jump in pork cutouts on Tuesday. Cash markets are mostly steady this morning, but ideas are for lower prices later this week as marketings increase. October is 70 cents higher at $63.85 and December is 20 cents higher at $61.43.