Corn futures are trading lower at midsession. Losses are being attributed to a technical setback from recent gains and advancing harvest progress of what is expected to be the second largest crop on record. Dry weather is forecast for the western Corn Belt this week although rain in the eastern crop belt could slow harvest progress there. December is 5 cents lower at $2.62 3/4 and March is 4 1/2 cents lower at $2.76 1/4.



Soybean futures are lower at midday. The market is being pressured by seasonal harvest pressure and follow-through selling from yesterday's weakness. Harvest is running behind normal, but should pick up this week, especially in the western Midwest. Soybean oil is also providing some weakness as it follows crude oil lower. November is 4 1/2 cents lower at $5.40 3/4 and January is 5 1/4 cents lower at $5.55.



Wheat futures are trading lower at midsession. The technical setback comes after the recent strong rally that pushed futures to overbought levels. Losses are being limited by confirmation of a 200,000 metric ton sale of U.S. hard red winter wheat to Iraq, which is expected to be followed by additional business. CBOT Dec is 5 cents lower at $4.41, KCBT Dec is 9 cents lower at $4.89, and MGE Dec is 8 cents lower at $4.66 1/2.



Cattle futures are mixed at midday. Firm boxed beef prices and ideas of higher cash trade this week initially supported futures. However, spread activity and poor packer margins are weighing on the nearby contract. October is 8 cents lower at $91.50 and December is 10 cents higher at $90.60.



Lean hog futures are trading higher at midsession. The futures market is being supported by strength in cash bids as packers continue to maintain aggressive slaughter schedules. Packer margins are positive, but are tightening as gains in the cash market outweigh improved cutout values. October is 65 cents higher at $64.90 and December is 98 cents higher at $61.43.