Corn futures are called 7 to 8 cents higher. Overnight trade at 6:30 am CST was 7 to 7 3/4 cents higher. Outside markets are expected to be influential today as Dow Jones futures, crude oil and gold were strongly higher overnight while the dollar was lower. However, fundamentals remain less bullish as export demand has been relatively sluggish. USDA will release a new weekly export inspections report this morning.
Soybean futures are called 15 cents higher. Overnight trade at 6:30 am CST was 14 1/2 to 15 1/4 cents higher. The market is expected to find support from outside markets and strong export demand. Dow Jones futures, crude oil and gold were up strongly overnight while the dollar index was lower. USDA’s weekly export inspections report is expected to show another strong week of exports. Further gains could be limited by the prospects for a big soybean crop in South America.
Wheat futures are called 12 to 13 cents higher. Overnight trade at 6:30 am CST was 12 to 13 1/4 cents higher at the CBOT, 12 1/2 to 13 1/2 cents higher at the KCBT and 11 3/4 to 12 1/4 cents higher at the KCBT. Spillover support from corn and soybeans and weakness in the dollar are expected to push wheat prices higher. Outside market support should help add to gains despite sluggish export demand. The weekly export inspections report to be released this morning is expected to show another sluggish week of export shipments.
Cattle futures are called steady to higher. Forecasts call for more snow and cold in the Plains, which would disrupt marketings and limit feedlot performance. Cash trade is expected to be firm this week as slaughter weights are declining and packers return to normal slaughter schedules. However, concern about beef demand and technically overbought conditions could limit gains in the futures market.
Lean hog futures are called steady to mixed. Traders will be starting the New Year looking for direction from the cash market. Cash trade is expected to be steady to firm as packers return to full slaughter schedules this week. But gains in the futures market will be limited by concern about pork demand with the heavy competition from beef and poultry. Also, the Hogs and Pigs report showed only modest herd liquidation.