Corn futures are called steady to narrowly mixed. Overnight trade at 6:30 am CDT was 1/4 of a cent higher. Choppy trade is expected as heavy rains in the Corn Belt that will slow spring fieldwork will be supportive. But gains will be limited by strength in the dollar and weakness in crude oil overnight. Old-crop fundamentals have become more bearish as ending stock estimates have increased. USDA will update supply/demand numbers on Friday morning.
Soybean futures are called steady to 1 cent higher. Overnight trade at 6:30 am CDT was 1/2 cent higher. Commercial buying supported prices on Tuesday and could provide some light support this morning. But gains will be limited by outside market pressure and the rising production estimates for soybean production in Brazil and Argentina. The dollar is higher and crude oil lower in overnight trade.
Wheat futures are called 4 to 5 cents lower. Overnight trade at 6:30 am CDT was 4 1/2 to 5 cents lower at the CBOT, 5 to 5 1/4 cents lower at the KCBT and 3 1/2 cents lower at the MGE. The market is expected to give back some of the strong short-covering gains posted on Tuesday. Fundamentals remain mostly bearish. Export demand has been disappointing this marketing year and strength in the dollar overnight will hurt the competitiveness of U.S. wheat on the global market. Strong winter wheat crop condition ratings and large U.S. and world wheat stocks are also bearish factors.
Cattle futures are called sharply higher this morning. Strength in the cash market late on Tuesday will support futures. Cash trade in the North was at $160-$162 dressed, up $4-$5 from last week. In the South, cash trade developed at $98-$100, up $2-$4 from last week. Strength in beef prices will also provide support as boxed beef values were up $0.71 to $1.23.
Lean hog futures are called higher on the open. The sharp rally in the cash market on Tuesday of $3-$4 and the $1.47 jump in pork cutouts will be supportive for the futures market. Fund buying has helped push futures to new highs recently, although profit-taking pushed most contracts lower on Tuesday.