HIGHLIGHTS
· MARKET TREND—grains, higher; SB complex, lower: CH, up $.0125; SF, down $.06; WH, up $.0575; KWH, Up $.0525
· MACRO: Wall Street upwards trek, hopes for ECB stimulus support global equities.ASIA-Mostly higher: Nikkei, +1.45%; Hang Seng, +0.27%; Shanghai, -.020%. EUROPE-firmer: FTSE, +0.06%; DAX, +0.32%; CAC, +0.17%. Wall STREET: Futures are steady to firmer: DOW, +5; S&P, flat; NASDAQ, +3.25. EXTERNALS: $ Index, -.313 @ 99.955; Gold, +$0.30 @ $1,175.30; Jan Crude, +$0.48 @ $50.25. Deliveries: SBM, 3; SBO, 292; HRW, 33; SRW, 35
· T-storm Weather: A wave of energy and cool front trigger widespread thunderstorms across Brazil and Paraguay through next week, most notably from Paraguay through Parana over the next several days. Dry weather occurs to the south through the period, leaving most Argentina corn and soybean areas dry. Changes potentially follow next weekend (Dec. 16-18) when a system passes, but the chance is currently low and we are only forecasting scattered 0.50" to 1.00" amounts
· Corn: CH up $.0150 @ $3.5950; CK, up $.0150 @ $3.6625. The funds reversed course and sold 5 K Wesdnesday
· SB: SF down $.06 @ $10.43; SH, down $.06 @ $10.5350. Funds—bot 5 SB, 3 SBO, sld 3 SM. Board Crush: $.73,-.03; LY, $.75
· Wheat: WH up $.0575 @ $4.0675; WK, up $.0575 @ $4.1825. The funds sold 3 K yesterday
CORN/SORGHUM
· Export Sales to be released at 7:30 AM CST. Trade expects 28-39 for 16/17 corn
· T-storm Weather: Key central & southern Argentina corn areas forecast to stay dry into at least Dec. 16. The setup is marginally better for rain Dec. 17-19, but potential event is too far into the future to have more than low confidence
· Consultant: The full-season corn crop in southern Brazil is in vegetative development with the most advanced corn already filling grain. Full-season corn is generally rated in good to very good condition with a few pockets of dryness
· Ethanol grind: 1,023,000 barrels/day for week end Dec. 2—up 1.1% vs. last week and 3.0% higher vs. last year
SOYBEANS/WHEAT
· Export Sales report. Trade expects 37-48 mbu for 16/17 soybeans; soymeal, 50-250 K MT; soyoil, 5-40
· ATI Research: Department of Commerce data this week showed U.S. soymeal exports for October were 5.4% above Sep. & 4.5% above October of 2015. This was higher-than-expected & has removed previous concerns about demand
· T-storm Weather: Seasonably-heavy rainfall affects soybeans across central and northern areas of Brazil next 10 days
· Export Sales report. Trade expects 11-18 mbu for 16/17 all wheat
· T-storm Weather: In the U.S., the potential for heavy snow exists on Saturday.-Sundayfrom the Iowa-Minnesota border through northern Illinois. HRW wheat areas to the southwest stay mostly dry
ENERGY
· Mixed: CLF16, +$0.48 @ $50.25; EBG, +$0.09; EBG-CLF, $3.35, +$0.12; RBF, -$.0011; NGF, -$.061; HOF, +$.0041
· Cash ethanol markets were higher on Wednesday: Chicago increased 1 5/8; New York up 2 ¼; Gulf added 2 1/8; Tampa and Dallas gained 1 ½; and LA was 1 ½ higher at $1.85 per gallon
· Ethanol RINs were lower: 2015’s, 2016’s and 2017’s all weakened by 3 to 99-106
· The Jan RBOB/Jan ethanol inverse went from -$0.06910 to -$0.13880/gallonyesterday
LIVESTOCK/POULTRY    
· Choice boxed beef values declined $1.57 on Wednesday to $188.94, and are $1.01 lower compared to last week
· Cash cattle trading on Wednesday remained very quiet with no clear trends established
· USDA mandatory pork carcass firmed 73-cents on Wed. to $74.43, and is up $1.76 vs. a week ago
· CME Lean Hog Index up $0.92 on Wed. to $51.95. December futures increased $1.325 & are $2.75 above the index
Sources: Bloomberg, Dow Jones, AP, DTN, T-storm Weather