Corn futures are called 3 to 4 cents lower. Overnight trade at 6:45 am CT was 3 1/4 to 3 1/2 cents higher. Profit-taking following recent strong gains and losses in crude oil and gold prices overnight are expected to weigh on futures. However, losses should be limited by USDA’s tight ending stocks projections and concern about the corn crop in Argentina. Some rain is forecast for Argentina, but it will be too late to save much of the corn crop.


 


Soybean futures are called 3 to 4 cents lower. Overnight trade at 6:45 am CT was 3 to 4 1/2 cents lower. The market is expected to be pressured lightly by profit-taking from recent gains and on forecasts for some rain in Argentina, which would benefit the soybean crop. There is also talk that the recent rally could slow export demand. Weakness in crude oil and gold prices overnight is a also a bearish factor. However, losses will be limited by USDA’s bullish supply/demand revisions this week.


 


Wheat futures are called 10 to 11 cents lower. Overnight trade at 6:45 am CT was 10 1/4 to 11 cents lower at the CBOT, 10 to 10 1/4 cents lower at the KCBT and 6 1/2 cents lower at the MGE. Profit-taking from the gains this week and sluggish export demand are expected to weigh on the market. USDA raised its export forecast this week by 50 million bushels, but weekly export sales reported on Thursday were sluggish. Warmer weather in the Plains has eased concern about winterkill due to the cold, but dry conditions remain a concern for the HRW crop.


 


Cattle futures are called steady to mixed. After pushing to new record highs this week, futures have consolidating as the cash market remains on hold. Only light trade has been reported in Kansas at $108, up $2-$3 from last week. Strength in boxed beef prices is supportive as choice cutouts were up 41 cents and select cuts were 97 cents higher. However, futures are expected to be mixed as they are already at a premium to expected cash trade around $108.


 


Lean hog futures are called higher. The $1.61 jump in pork cutout values on Thursday and strength in the cash market is expected to be supportive for futures trade. Gains could be limited by follow-through profit-taking and concern that high prices will eventually slow pork demand. Cash bids are expected to turn steady to mixed in light activity ahead of the weekend.


 


Cotton futures are trading slightly higher this morning. Some consolidation trade is expected today ahead of the extended ML King holiday weekend. Profit-taking weighed heavily on futures yesterday, but fundamentals remain bullish. At 6:30 am CT, March is 9 points higher at 114.15 cents and May up 4 points at 139.50 cents.