Corn futures are called 2 to 3 cents higher. Overnight trade was 2 3/4 to 3 1/4 cents higher. The market is expected to find support from end user buying as export demand remains strong. Prices are holding above support levels, but with fund still holding a large net long position, prices are vulnerable to additional near-term selling pressure.



Soybean futures are called 1 to 2 cents higher. Overnight trade was 1 to 2 1/4 cents higher. The market posted a strong technical bounce on Monday and is expected to open firm again today. Continued strong export demand and reports of dry conditions in southern Brazil will be supportive factors.



Wheat futures are called 1 to 2 cents higher. Overnight CBOT trade was 1 1/4 to 3 cents higher and the KCBT was steady to 1 cent higher. Recent weakness attracted some short-covering and bargain hunting yesterday that is expected to continue this morning. However, the market remains technically weak and is expect to trend lower the next few weeks.



Cattle futures are called steady to lower. We look for the market to continue yesterday's weak tone. Cutout values have been moving mostly lower the past week and packer margins are in the red, prompting ideas that cash cattle will be weak to a dollar lower this week.



Lean hog futures are called steady to lower. The cash market is expected to remain on the defensive today as packers are benefiting from increased marketings as weather conditions are much better this week. Losses could be limited by short-covering and yesterday's small 13 cent gain in cutouts.