Corn futures are called 1/2 to 1 cent lower. USDA raised corn ending stocks to 2.01 billion bushels, up 50 million from January but slightly below pre-report trade expectations. Exports were lowered 50 million bushels due in part to increased competition from Argentina.

Soybean futures are called steady to 1 cent lower. USDA raised ending stocks 5 million bushels to 440 million, which is the highest level since 1998-86. Traders were looking for a slight increase. Crush was lowered 5 million bushels due to decreased meal demand, but exports were left unchanged.

Wheat futures are called 1 to 2 cents higher. USDA lowered ending stocks by 25 million bushels due to 558 million bushels. The average pre-report estimate was for only a 1 million bushel decrease. The strong pace of exports helped USDA raise their export forecasts by the 25 million.

Cattle futures are called steady to higher. Boxed beef prices were strongly higher again yesterday with gains of $2.11 to $2.43. With tight showlists and the pop in beef prices, we look for firm cash trade this week. Optimism for resumed beef trade with Japan will also be supportive.

Hog futures are called steady to lower. Spillover selling and the 12 cent drop in pork cutouts will be negative factors. There are some ideas that the cash market may be bottoming, but it will likely take some strength in cutouts for that to happen.