Corn futures are called 2 to 3 cents lower. Overnight trade at 6:45 am CT was 2 1/4 to 3 cents lower. Profit-taking from technically overbought conditions and further strength in the dollar overnight is weighing lightly on futures as traders consolidate recent gains. But losses are being limited by strong demand, projections for very tight ending stocks will be underlying supportive factors.


 


Soybean futures are called mixed on the open. Overnight trade at 6:45 am CT was 1 1/4 to 1 1/2 cents lower in old-crop months and 2 cents higher in the new-crop November contract. Bearish factors include improved crop weather in Argentina, large crop projections for Brazil and old-crop export sales falling to a marketing year low last week. However, the market could trade higher at times today on very tight ending stocks projections and the need to compete for acreage this spring.


 


Wheat futures are called mixed this morning. Overnight trade at 6:45 am CT was 1 to 1 3/4 cents higher at the CBOT, 1/4 to 1 cent lower at the KCBT and unchanged to 1/4 of a cent lower at the MGE. Some light short-covering could provide support following the strong losses on Thursday. The tight global supply of high quality wheat and increased concern about drought in China’s wheat areas will be supportive. But gains will be limited by further strength in the dollar index overnight and disappointing weekly export sales reported on Thursday.


 


Cattle futures are called steady to higher. Spillover buying from the gains on Thursday and expectations for firm cash trade this week will be supportive for futures. Slaughter weights have declined and recent wintery weather could limit slaughter weights and thus beef production. However, weakness in boxed beef prices on Thursday could help limit gains.


 


Lean hog futures are called steady to higher. Cash prices were up $2 on a national average on Thursday as packers were aggressively bidding for hogs. Bullish momentum has pushed futures to new contract highs. However, the market is vulnerable to some profit-taking and technical selling from the recent rally.


 


Cotton futures are mixed this morning. The nearby March contract is up strongly again as cotton supplies remain tight, but deferreds have turned lower on profit-taking. At 6:30 am CT, March cotton was 171 points higher at 189.29 cents while December was trading 230 points lower at 129.20 cents.