Corn futures are called 3 cents lower. Overnight trade at 6:30 am CT was 3 to 3 1/4 cents lower. Some profit-taking is expected from the rally on Monday. Weather forecasts continue to call for a warm and dry pattern to develop over the Corn Belt. Some areas will begin to run short on soil moisture although the warmer temperatures will help speed up maturity. Currently the crop is only 76% silking, down 13% from the five-year average, and 14% in the dough stage, 15% under the five-year average. Weakness in Dow Jones futures and crude oil will contribute to the setback this morning.



Soybean futures are called 10 to 11 cents lower. Overnight trade at 6:30 am Ct was 10 to 10 1/2 cents lower. After the strong gains yesterday, futures are expected to setback this morning. Forecasts calling for a warm and dry weather pattern across the Midwest triggered the rally. If forecasts continue to show an extended period of warm and dry, futures could continue turn higher again soon. Crop condition ratings held at 67% good to excellent last week, although 1% shifted from good to excellent. The setback in Dow Jones futures and crude oil overnight will also weigh on soybean futures trade this morning.



Wheat futures are called 6 to 7 cents lower. Overnight trade at 6:30 am CT was 6 3/4 to 7 1/2 cents lower at the CBOT, 5 3/4 to 6 cents lower at the KCBT and 4 1/4 to 6 cents lower at the MGE. The market is expected to setback from the strong gains yesterday. Expected weakness in corn and soybeans, sluggish export demand and the outlook for a large spring wheat crop will pressure prices. However, losses should be limited by further weakness in the dollar index overnight, after slipping to new lows for the year on Monday. Spring wheat condition ratings remain strong at 71% good to excellent, but that is down 3% from the previous week.



Cattle futures are called mixed. Boxed beef prices turned higher on Monday with choice cutouts up $1.17. But the disappointing cash market the past couple of weeks are expected to keep futures market trade mixed this morning. Strength in the stock market and corn helped push deferred contracts higher, but stocks and corn were both lower overnight.



Lean hog futures are called steady to lower. After a brief short-covering rally late last week, futures have turned lower again. Weakness in the cash market on Monday and the $1.01 drop in pork cutouts are expected to keep futures on the defensive this morning. Several packing plants were closed on Monday, which will have hog marketings backed up for a few days, likely keeping cash markets on the defensive.