Corn futures are trading mixed at midsession. Prices bounced on short-covering after Tuesday's slide to the lowest level since the corn market bottomed in December. Cash bids are reported steady to higher, which is favorable since the DTN National Corn Index reportedly fell below $3 Tuesday. Summer growing conditions continue to be good, with mild temperatures and periodic showers. September is 1 1/2 cents higher at $3.27 and December is 1 1/4 cents higher at $3.37.

Soybean futures are trading lower at midsession. Rumors that China plans to open up sales from their soybean reserves are pressuring nearby prices. Losses in deferreds are boosted by short-covering following Tuesday's sharp losses. Gains are limited by ideal weather conditions across the Midwest, which combined with the 77.5 million acres estimated to be planted this year could make for a sizeable crop. August futures are 15 1/2 cents lower at $10.38 and November is 3 cents lower at $8.92.

Wheat futures are trading higher at midday. A short-covering bounce from technically oversold conditions is carrying futures higher. Also supportive is news that a heat wave across Eastern Europe will likely reduce grain output. Egypt reportedly purchased 175,000 tonnes of wheat from France and the U.S. Gains are limited by pressure from outside markets. CBOT September is 3 cents higher at $5.15 1/2, KCBT September is 2 1/2 cents higher at $5.46 1/2 and MGE September is 2 1/2 cents higher at $6.09 1/4.

Cattle futures are trading lower at midday. Lackluster beef demand is weighing on futures. U.S. unemployment is at a 26-year high and has led to concerns about consumers opting for lower-priced foods. However, beef cutouts were slightly higher on Tuesday. Another bearish factor is news that slaughter capacity in Brazil, the world's largest beef exporter, has been raised 25 percent. August is 83 cents lower at $83.38 and October is 95 cents lower at $88.25.

Lean hog futures are trading lower at midsession. Cash hog prices are expected to be weak, amid lighter buying this week. Packers are running in the red, which has pork plants planning on light slaughter schedules for this week. Although hog supply reductions are expected, they are not estimated to be enough to raise profits for 2009. The Goldman roll is heavily pressuring the nearby August contract. August is $1.10 lower at $61.10 and October is $1.00 lower at $57.15.