Corn futures are trading higher midday. The market was initially lower on spillover selling following yesterday's fund led weakness. Buying interest is being limited by ideas that index fund rebalancing next week will put additional pressure on the market, but higher wheat prices have helped pull corn higher. March is 1 1/2 cents higher at $3.72 and December is 3 cents higher at $3.65.



Soybean futures are higher at midsession. Follow-through selling weighed on prices early in the session, but short-covering has helped pull prices higher after recent weakness. Soybean fundamentals remain bearish with big stocks and favorable weather so far for South America's soybean crop. March is 2 1/2 cents higher at $6.84 1/2 and November is 2 3/4 cents higher at $7.29.



Wheat futures are trading higher at midday. Technical weakness following recent losses remains a bearish factor. However, the market seems to be consolidating losses today. Egypt's purchase of 160,000 tonnes of U.S. wheat is a supportive factor. CBOT Mar is 2 1/2 cents higher at $4.79, KCBT Mar is 3 3/4 cents higher at $4.90 1/2, and MGE Mar is 3/4 of a cent higher at $4.96 1/4.



Cattle futures are lower at midsession. The futures market is setting back today after becoming technical overbought on the recent runup. Cash trade is still expected to be firm later this week versus the $88-$89 trade posted last week. February is 95 cents lower at $92.15 and April is 93 cents lower at $93.35.



Lean hog futures are trading higher at midday. Short-covering following recent weakness has helped support the market. The nearby contract has fallen to a discount to the lean hog index. Cash markets are generally steady to $1 lower again today. February is 70 cents higher at $60.20 and April is 38 cents higher at $63.93.