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Overnight highlights. Following are highlights of overnight trade (as of 6:30 a.m. CT) and opening livestock calls:
Corn: Mixed. July corn is marginally firmer, with the rest of the market marginally to 2 cents lower in lackluster trade. Overnight price action has been choppy, with periods of support coming from dollar weakness. Rains moving across the Corn Belt are providing pressure for new-crop futures, although there is concern that stress on the crop will build next week with the arrival of warmer and drier conditions.
Soybeans: 1 to 4 cents lower. Futures haven't strayed too far from unchanged overnight, with quieter trade being seen. Current pressure is tied to rains moving across the Corn Belt, although the overall tightness of carryover is helping to limit pressure as favorable weather is needed this growing season. November beans are pivoting around $12.90. A weaker U.S. dollar index is also supportive of short-covering this morning, as Germany's May jobs report showed the number of those with jobs unchanged -- which came in above expectations.
Wheat: 2 to 3 cents lower. Futures have been weaker in overnight trade, with pressure coming from harvest progress. Kansas harvest is progressing into some of the better areas, but results remain mixed. But still, the movement of grain onto the market is limiting buying to short-covering as traders expect basis to soften. Also, futures did some technical chart damage on yesterday's decline -- pointing to more near-term price pressure.
Live cattle: Steady to higher. Futures are expected to benefit from short-covering following yesterday's sharp decline. Continued strength in the beef market is also supportive for the market, as Choice values rose $1.26 yesterday and Select was up 89 cents on 255 loads changing hands. This, combined with a smaller showlist should force packers to raise bids.
Lean Hogs: Steady to higher. Futures are expected to see a lift from short-covering. Also supportive is yesterday's strong pork cutout market, as values rose $1.95 on 108.75 loads changing hands. Outside markets are also supportive of short-covering this morning.