HIGHLIGHTS

·         5:50 AM Market Trend:  Corn, Up 4+; Soybeans, 7-8 Higher;  Wheat, 4-5 Higher

·         Asian markets closed mixed this morning; the Nikkei fell .85% as the yen strengthened; the Hang Seng lost .13% while Shanghai closed up .34% ahead of tomorrow’s preliminary purchasing manager’s index release.  Early sentiment in Europe is clearly positive as the FTSE, DAX and CAC 40 are all showing gains of 1% or more.  Futures for all 3 major U.S. indices have turned higher:  Dow, +9; S&P, +.75 and the Nasdaq, +8.50.  Outside markets find gold up $2.45 at $1,291/oz;  energy futures are weaker but underpinned by tensions in the Ukraine and the $ Index is off .118 at 80.05

·         T-storm Weather: Another system brings rain to the eastern Plains and Corn Belt Wednesday-Thursday, but best chances are in central and northern areas.  Some dry HRW wheat in the central Plains also benefits from the mid-week system, but not western areas, and only isolated thunderstorms are expected in the southern Plains.  The setup becomes very complex this weekend and especially early next week when a large system disconnects from the jet stream and wobbles slowly eastward.  Cool, cloudy, and rainy conditions accompany these types of systems, but it is not possible to forecast the exact path of this system with confidence this far in advance.  Given an array of possibilities, it is most probable for cool and rainy weather to occur from the northern Plains into the Corn Belt and possibly the Delta, while lesser amounts occur with westward extent in the Plains

·         May Corn Up $.04 at $4.9250; July Up $.0450 at $4.9825.  The funds began the week by selling 10 K

·         May SB Up $.08 at $15.0675; July Up $.0750 at $14.9475.  Funds:  sold 6 K SB; 3 K SBM and 5 K SBO

·         May Wheat Up $.0475 at $6.73; July Up $.0450 at $6.80.  Fund sales amounted to 8 K on Monday

CORN/SORGHUM

• USDA Crop Progress: U.S. corn planting at 6% complete as of Sunday vs. 4% in 2013 and the 5-year average of 14%
• ATI Research: Updated balance sheet for 13/14 corn carryout dn 28mbu to 1.306Bbu; 14/15 dn like amt. to 1.675Bbu
• Export Inspections; Corn, 63.0mbu (36.6 needed) with zero to China; Milo, 10.7 (3.6), China in for 9.4 million bushels
• Crop consultant increases Brazil corn production estimate by 2.0 MMT to 72.0, which is also the same as the USDA  

SOYBEANS/WHEAT

·         ATI Research: Updated balance sheet 13/14 soybeans--carryout dn 5 mil. to 121mbu; 14/15 dn like amt. to 321mbu

• Crop consultant indicates Brazil soybean harvest approximately 90% complete; output unchanged at 86.5 MMT
• Export Inspections: Soybeans, 5.1mbu (3.7 needed) with zero to China (vs. 2.4 last week)
• ATI Research: 13/14 SRW wheat carryout at 132mbu; 14/15 pegged at 161mbu
• Good/Excellent winter wheat ratings unch at 34%; ATI pegs all winter output at 1.486Bbu, dn 5mbu vs. last week

ENERGY

·         Futures are lower:  QCLK14, -$0.32 at $104.05; QRBK, -$0.0098; QNGK, -$.009; and QHOK, -$.0073

·         Cash ethanol markets opened the week with a mixed tone: Chicago down 7; Gulf dropped 9; Dallas lost 2; Tampa edged up a penny; NY climbed 7; and LA prices were a dime lower at $2.88 ½ per gallon

·         Weaker trends in RINs: 2012’s down 1 ½ to 42-43; 2013’s off ½ at 43-45; and 2014’s were ¼ lower at 41 ½-42 ½

·         The May RBOB/May ethanol spread added nearly a cent to gasoline’s premium, settling at $.8719

LIVESTOCK/POULTRY                                  ​                        &​nbsp;

• Choice boxed beef values were $2.71 higher compared to the prior day on moderate to fairly good demand
• June live cattle futures traded $133.95 on Monday—lowest price since Feb. 28—but closed $0.175 higher at $134.50
• Cash hog prices in the Western and Eastern Corn Belt were $1.46 and $1.01 firmer Monday, respectively
• The USDA’s two-day lean hog index values for April 18 was $119.65, down $1.21 from the prior day

Sources: Bloomberg, Dow Jones, AP, T-storm Weather