CBOT futures are trading lower with corn and wheat futures leading the way down. This weakness continues Monday’s trend. Wheat is also pressured by forecasts for rain in the Plains; Kansas City wheat is down the most. Traders are looking ahead to Friday’s USDA WASDE report for supply-demand updates. Ending stocks for 2012/13 Corn may rise on reduced export and domestic demand. Negative margins for ethanol producers has been limiting their use of corn. The Renewable Fuels Association said that on January 29, 36 of 211 plants in the US were not operating.

Cattle futures are trading mostly higher on optimism that cash fed cattle trade will be at higher prices even as boxed beef values weaken. Feeder futures benefit from the lower corn prices.

Lean Hog futures are lower on weakness in hog and pork values.

Corn Mar -8 726; Jly -8 719; Dec -6 587

Bean Mar -3 1485; Jly -3 1468; Nov -2 1342   Meal Mar unch 434.5; Oct -1 377   Oil -31 5280

Wheat Mar -9 754; Jly -9 767   KC -11 806; MGE -7 840

LC Feb +62 12770; Jun +20 12820; Oct -10 13315 FC Mar +80 14967; Apr +45 15285; Aug +42 16097 LH Feb -20 8787; Apr -50 8785; Jly -67 9672 Milk Feb -2 1710; Mar -10 1700

Oats unch 360 Rice +20 1611  (2 strong days up) 

US$ +.2%

Dow +.8% SP +.9% NAS +.9% Tran +.7%   VIX -5.3% 13.89

WTI +.5% Brent +1% Gas +1% NG +1% HO +1% Eth -1.5%

Gold -.3% Slvr +.2%

5-yr +.040 0.873% 10yr +.049 2.009% 30yr +.044 3.205%