Corn futures are a couple cents lower at mid morning Wednesday after opening higher on follow through technical support from Tuesday's strong gains. The March futures contract ran into chart resistance at $3.76. Recent favorable weather in South America and weakness in wheat and soybeans are weighing on the market. March corn is 1 1/2 cents lower at $3.71 1/2 and December 2007 contract is down 2 1/4 cents at $3.63 1/4.



Soybean futures have turned several cents lower at mid session after a steady opening. Favorable rainfall in South America is the major negative factor weighing on the market. January futures have established near term chart resistance at this morning's high of $6.55. The January contract is 5 cents lower at $6.48 1/2 and November is down 5 1/4 cents at $7.07.



Wheat futures have dipped lower after opening a firm opening. Rain and snow in the dry hard red winter wheat region are weighing on the market. Tight global wheat supplies and high corn prices are lending fundamental support around the $5 benchmark on the Kansas City March futures. CBOT March is 3 1/2 cents lower at $4.88 1/2, KCBT Mar is a half cent lower at $5.01 1/2 and MGE March is 1 3/4 cents lower at $5.00 1/2.



Cattle futures are higher at midday finding support from the winter storm currently brewing in the Plains. The southwestern feedlot region has received a combination of rain, freezing rain and snow. Heavy snow is developing in northeastern Colorado and western Nebraska. Lower cutout values Tuesday afternoon have capped gains. December cattle are 55 points higher at $87.35 and February is up 17 points at $90.25.



Lean hog futures are slightly lower at mid morning Wednesday. A mix of winter precipitation moving from the Plains into the western Corn Belt may slow marketings for a day or two, helping underpin cash prices. However, the early support is giving way to ideas that large hog supplies will contribute to a defensive market tone into early 2007. February lean hogs are 12 points lower at $62.60 and June is 25 cents lower at $73.02.