Corn futures are called 3 to 4 cents lower. Overnight trade was 2 1/4 to 4 cents lower. The market has turned more two sided as traders have digested the bullish USDA revisions made last Friday. Prices are due for a near-term setback, but we look for prices to establish a trading range at this new higher price level. Weekly export sales are expected to remain strong, with pre-report expectations ranging from 32-43 million bushels.



Soybean futures are called 1 to 2 cents lower. Overnight trade was 1/2 cent lower in most contracts, but May was 6 cents lower. With corn expected to open lower, soybeans are likely to follow suit. Old-crop fundamentals remain bearish with record ending stocks being forecast and mostly favorable crop conditions in South America. Weekly export sales are expected to be in the 18-26 million bushel range.



Wheat futures are called 2 to 3 cents lower. Overnight CBOT trade was 1 1/4 to 2 1/2 cents lower and the KCBT was 2 to 6 cents lower. The corn market remains the leader, but corn is called lower and generally bearish wheat fundamentals are expected to weigh on the market. Export demand remains sluggish with trade expectations for weekly commitments at 11-18 million bushels. In addition, the southern Plains are forecast to pick up more beneficial precipitation through the weekend.



Cattle futures are called steady to mixed as traders wait for the cash market to develop today. Another round of winter weather is forecast for the Texas Panhandle and southern Kansas into the weekend. However, lower boxed beef cutout values and the lack of cash market activity will limit buying interest.



Lean hog futures are called steady to mixed. Cash trade is expected to be steady to mostly firm again this morning. Futures premium to cash will limit gains in the nearby contract. However, with hog numbers expected to tighten seasonally and positive packer margins may help keep the cash market firm next week.