Corn futures are called steady to 1 cent higher. Overnight trade was 1/2 of a cent higher. A small technical bounce is expected following recent losses. However, buying interest is expected to be limited by technical weakness and fund selling. Seasonal pressure from increased cash movement is also a negative factor.



Soybean futures are called 2 to 3 cents higher. Overnight trade was 2 to 3 1/4 cents higher. As in corn, a technical bounce is expected after recent weakness. Improved South American weather and bearish technical charts will limit gains. However, some forecasts are showing a return to warm and dry conditions in Argentina.



Wheat futures are called mixed on the open. Overnight trade was steady to 1/2 of a cent lower. We look for choppy trade with some technical buying expected following recent losses. Dry conditions in the southern Plains will continue to be supportive for the KCBT, although forecasts are showing for chances of rain in the southern Plains. Several good rains will be needed to replenish soil moisture.



Cattle futures are called steady to mixed. The market is expected to mark time until cash trade develops. Despite poor margins, packers are expected to raise bids this week to fill limited slaughter schedules. Boxed beef prices are improving with Choice cutouts up $1.87 on Wednesday.



Lean hog futures are called steady to mixed. Technical weakness and fund selling could keep pressure on futures, but oversold conditions should limit losses and may encourage a small technical bounce. Cash markets remain at a discount to futures, but recent strength and weakness in futures have helped narrow the gap.