Grains fell in the overnight session after a weather-driven rise Wednesday. Forecasts have reduced some precipitation out of the 6-10 day for the plains and the Midwest yet still expect rainfall across the central U.S. as we approach Independence Day. Ethanol production missed expectations recently declining to 980,000 barrels per day from 992,000 barrels per day though stocks still remain high compared to last year. Weekly export sales trade data due out this  morning.  The trade estimate is 400,000-600,000 tonnes for corn.  July corn futures fell 1.75 cents to $3.575/bushel early morning Thursday, and December dropped 1 cent to $3.74.  

Soybeans are down early Thursday morning perhaps on profit taking and ahead of weekly sales data .  As weather concerns vacillates, the focus continues to be on the June 30 acreage and quarterly stocks report. Export sales data, due out this morning, is estimated to be 100,000-250,000 tonnes for soybeans.  July soybean futures gained 4.75 cents to $9.6475/bushel just after sunrise Thursday, while July soyoil fell .25 cents to 32.60 cents/pound, and July meal slipped $1.3 to $322.4/ton.    

Wheat futures are holding fairly steady Thursday morning.  Weekly export expectations for wheat are 200,000-400,000 tonnes. The trade estimates will be released at 730 CDT this morning.  Wheat harvest continues, despite higher than normal moisture, and is improved by 7% to 11% complete, versus 20% last year July CBOT wheat futures rose 0.75 cents to $4.92/bushel at dawn Thursday morning, while July KC wheat is down .25 cents to $5.0525/bushel, and July MWE edged higher  1.25 cents to $5.4925.     

CME cattle futures lowered on Wednesday despite recent firmness in beef cutouts. Livestock futures seem to be facing opposing factors; on one hand, some are buying due to discount to cash whereas others may be sellers in anticipation of the demand slow- down after the July 4th holiday.  August cattle futures fell .40 cents to 150.82 cents/pound at the close Wednesday, while December futures lost 0.82 cents to 153.97. Meanwhile, August feeder cattle futures dropped .10 cents to 224.75 cents/pound, and November feeders lifted .02 cents to 218.47.   

The hog market saw a bounce Wednesday after consolidating the past few days in response to lean hogs futures being vastly oversold. The trade continues to struggle with oversupply while at the same time facing the seasonal shift to lower demand after the 4th of July.  Therefore, we could see continued downward pressure Thursday, yet in the longer run,  some analysts are predicting a possible move upward to $80-81. August hog futures gained 0.95 cents to 76.50 cents/pound at Wednesday’s ending session, while December rallied 1.20 to 64.00.  

ICE cotton futures relaxed Wednesday after rising nearly 2.5% yesterday. Although recent crop ratings increased to 55% good to excellent, compared to 51% last year, planting progress was stated to be only near 91% complete compared to the 96% 10-year average and 94% last year. July cotton futures lost 0.13 cents to 64.30 cents/pound Wednesday, while December fell .09 to 64.88.