Corn futures are called 1 to 2 cents higher. Overnight trade was 3/4 to 1 1/2 cents higher. The market is expected to find light support from outside markets and a bounce in soybean prices this morning. The stock market was higher yesterday and is expected to open higher again today while crude oil and gold futures were also higher. Sluggish demand will limit gains. USDA is expected to lower usage numbers in next week's Supply/Demand report.



Soybean futures are called 8 to 9 cents higher in old-crop months. Overnight trade was 7 3/4 to 9 1/4 cents higher in old-crop while Nov '09 was only 3/4 of a cent higher. The market is expected to rebound from recent losses. Outside markets will be supportive as crude oil and gold futures were higher overnight. Higher Chinese soybean futures and Malaysian palm oil prices will also provide some spillover support. However, gains will be limited by recent rainfall in Argentina and forecasts for more rain that will help improve their soybean crop conditions.



Wheat futures are called 4 to 6 cents higher. Overnight CBOT trade was 3 3/4 to 5 3/4 cents higher and the KCBT was 6 cents higher. Spillover support from corn and soybeans as well as firm outside market should provide light support this morning. Export demand has been sluggish, but there is hope that it is improving. Egypt is tendering for wheat and if they choose some U.S. supplies, the market would find support. Concern about dry conditions in the southern Plains will also be a bullish factor.



Cattle futures are called steady to mixed. The cash market has yet to develop, but the futures market may be choppy as traders wait for direction. Showlists are smaller this week and packer margins remain positive, but beef demand is sluggish and boxed beef prices were down 41 to 80 cents on Tuesday. Strength in the stock market yesterday and expectations for a firm open today may provide some light support.



Lean hog futures are called steady to mixed. The rebound in futures yesterday could trigger some follow-through buying today. However, gains will be limited by poor cash fundamentals. Packers are lowering cash bids as margins remain poor. Cutouts did improve slightly yesterday, but the 21 cent gain will not help improve margins much.