Corn futures are called 2 to 3 cents higher. Overnight trade was 2 3/4 to 3 1/4 cents higher. After consolidating on Tuesday, the market appears set for a small technical bounce today. However, generally favorable weather conditions and ideas that the crop will grow from USDA's August number will likely keep the market on the defensive into mid-September.



Soybean futures are called 1 to 2 cents higher. Overnight trade was 2 1/2 to 3 3/4 cents higher. Futures remain technically oversold and we look for a small bounce today after yesterday's choppy action. Gains will be limited by favorable Midwest weather and improving crop condition ratings.



Wheat futures are called 3 to 4 cents higher. Overnight CBOT trade was 2 1/2 to 3 3/4 cents higher and the KCBT was 1 3/4 to 4 cents higher. The recent price decline gave way to a small recovery rally yesterday. We look for some follow-through this morning. However, gains will be limited by technical weakness and recent rainfall in the western Plains that has eased some concern about winter wheat seeding.



Cattle futures are called steady to mixed. Trading is expected to be limited as the market waits to see cash trade for direction. Cash trade is currently expected to be firm given the higher trend in beef prices and smaller showlists. However, the premium of futures to cash and positioning ahead of the Cattle on Feed report will limit buying interest.



Lean hog futures are called mixed. Futures tumbled yesterday on technically overbought conditions and ideas of lower cash trade the second half of the week. However, futures are expected to be choppy this morning as the $1.51 jump in pork cutouts on Tuesday may encourage packers to hold bids steady today.