Corn futures are firm at midsession. Another strong weekly export sales report for corn is supporting futures. Sales of 63.5 million bushels were well above trade expectations. USDA lowered carryout by 25 million bushels this morning to 2.401 billion, although trade expectations were for a larger decline. March is 3/4 of a cent higher at $2.22 and May is 1/4 of a cent higher at $2.32 1/4.



Soybean futures are trading higher at midday despite bearish supply/demand revisions by the USDA this morning. Ending stocks are now expected to grow to a record 555 million bushels due to slower exports and crush. Fund buying has been able to push prices above 50 and 100-day moving averages. March is 4 cents higher at $5.82 and May is 3 1/4 cents higher at $5.94 1/2.



Wheat futures are mixed at midday. USDA left U.S. supply/demand numbers unchanged. Spillover support from corn and soybeans were initially supportive, but some contracts turned lower on disappointment that Egypt's wheat tender did not include any business for the U.S. CBOT Mar is 3/4 of a cent higher at $3.57 1/2, KCBT Mar is 1 1/4 cents lower at $4.25 1/2 and MGE Mar is 2 cents lower at $4.07 1/2.



Cattle futures are trading steady to higher at midday. Gains are being attributed to short-covering and ideas that the discovery of foot and month disease in Argentina may keep the U.S. from importing beef from there. Market action is limited as traders wait for cash trade to develop. April is 5 cents higher at $90.00 and June is steady at $84.30.



Lean hog futures are trading slightly higher midsession. Cash markets have been strong this week, but gains are being limited by concern that poor packer margins will lead to weakness in the cash market next week. April is 8 cents higher at $62.25 and June is 5 cents higher at $69.40.