Corn futures are called 3 to 5 cents lower. Overnight trade was 3 1/2 to 5 3/4 cents lower. Chart patterns show a negative bias and traders are still worried about index fund rebalancing. The March contract has been able to hold support in the $3.60 area, but fell below that level overnight. Weakness in crude oil has also been a negative factor for corn recently.



Soybean futures are called 6 to 8 cents lower following overnight trade that ended that way. Spillover pressure from weakness in corn along with soybean oil being pressured by lower world palm oil prices will be bearish factors. Soil moisture levels are favorable in most major growing areas of South America and estimates of Brazil's soybean production are on the rise.



Wheat futures are called 2 to 4 cents lower. Overnight CBOT trade was 3 1/2 to 5 cents lower and the KCBT was 2 1/2 to 3 1/2 cents lower. The CBOT dipped below light chart support on Monday, but the KCBT March contract held support right at $4.74 level overnight. Fundamentals remain generally bearish. Export demand remains sluggish and forecasts call for more precipitation in the Plains. In addition, the market remains concerned about selling related to index fund rebalancing.



Cattle futures are called steady to higher. Strength in boxed beef prices and forecast for another winter storm to hit the Plains later this week and weekend will be supportive. Boxed beef prices were $1.59 to $2.33 higher on Monday. Feedlot supplies remain ample, but weather stress has delayed cattle enough to limit supply concerns.



Lean hog futures are called steady to mixed. Futures will likely be choppy until there is some direction from the cash market. Cash prices are expected to be steady to mixed today. Packers have most immediate needs covered. Packer margins will be helped by the 53 cent jump in cutouts on Monday.