Corn: 1 to 2 cents lower
Soybeans: 3 to 5 cents lower
Wheat: 1 to 4 cents lower
Soybean futures slipped to fresh weekly lows overnight as rains moved across crop-producing areas of Argentina, as well as forecasts for mostly favorable conditions in Brazil. A firmer tone in the dollar added to price weakness across the crop markets overnight. End-of-the-month position squaring should help to limit pressure in corn and wheat futures this morning given the large net-short position funds currently hold in those markets.
Weekly export sales came within expectations for soybeans, but corn and wheat sales were a disappointment. But on a positive note this morning, USDA announced China has purchased 525,000 MT of soybeans and an unknown destination purchased 132,000 MT. China also purchased 110,000 MT of sorghum. All sales were for 2017-18.
Cattle futures are expected to see a mixed start as traders wait on cash trade to develop, especially since futures hold a premium to last week's cash trade. But the market is also keeping close track of consumer trends and is encouraged by strength in the Dow Jones Industrial Average.
Hog futures are also expected to be mixed this morning, but should favor a firmer tone on cash optimism. But buying may be limited due to the premium futures have priced in compared to the cash index. The cash market is expected to be steady to $1 higher amid strong packer demand.