HIGHLIGHTS
· MARKET TREND: CH, Down $.0075; SF, Down $.0550; WH, Down $.0355; KWH, Down $.0525
· Fed rate boost inspires global equity markets. Asia posts gains of from .79% (Hang Seng) to 1.83% (Shanghai). Europe is sharply higher at mid-day with the DAX leading the way at +3.27%; France’s CAC 40 is up 2.41% and the FTSE, +1.46%. Initial unemployment claims and the Philly Fed survey are out this am. Pre-markets look positive in the U.S.: DOW futures, +67; S&P 500, +7 and the NAS, +21.75. The $ Index is up over 1.00 on the March at 98.96; gold is $10.20 cheaper and energy, firmer.
· T-storm Weather: Above-normal rainfall continues in southern Brazil and Paraguay over the next 10 days as a series of cool fronts pass, keeping the region unusually wet; highlighting the unusualness of recent rainfall, departures were four- to five-times higher than their standard deviation over the last 45 days. Isolated thunderstorms dot northern soybean areas of Brazil into the weekend, followed by better coverage next week when cool fronts have an easier time shifting northward, but coverage may be limited by an influx of relatively dry air from Northeast Brazil
· CH, Down $.0075 @ $3.69; CK, Down $.0075 @ $3.69. The funds sold 10 K yesterday
· SF, Down $.0550 @ $8.57; SH, Down $.06 @ $8.5725. Funds: sold 3 K SB; 3 K SBM and 4 K SBO
· WH, Down $.0350 @ $4.80; WK, Down $.0375 @ $4.8625. Fund sales totaled 5 K
CORN/SORGHUM      
· Export Sales to be released at 7:30 AM CST. Trade expects 28-37 mbu for 15/16 corn
· March 2016 corn futures closed at $3.69 ¾ on Wednesday, the lowest settlement price for the contract since Nov. 27
· ATI Research: World corn values show the Black Sea as the cheapest origin at $169 per MT. Argentine corn and Australian feed wheat are both quoted at $170 , while U.S. Gulf is $172 and U.S. PNW is $180
· Consultant: Possible a few more acres of corn will be planted in Argentina v. prior est. due to elimination of export tax
· Ethanol grind: 1,000,000 barrels/day for week end Dec. 11—up 0.7% vs. last week and 1.0% higher vs. last year
SOYBEANS/WHEAT
· Export Sales report. Trade expects 33-48 mbu for 15/16 soybeans; soymeal, 150-300 K MT; and soyoil, 5-25 K MT
· January 2016 soybean futures closed at $8.62 ½ Wed., the lowest settlement price for the contract since Nov. 20
· Consultant: Condition of earlier planted soybeans in Argentina is rated as generally good to very good
· Chicago March 2016 wheat futures closed $0.10 ¾ lower on Wednesday, the largest one-day decline since Nov. 9
· Export Sales report. Trade expects 9-17 mbu for 15/16 all wheat
· T-storm Weather: Rainfall of 1.00”-5.00” appears probable across the U.S. Corn Belt and Delta over the next two weeks, with wettest conditions across SRW wheat areas of the southeast Corn Belt and Delta
ENERGY
· Firmer: CLF16, +$0.03, $35.55; EBF, +$0.07; EBH-CLH, $.02, -$.07; RBF, +$.0241; NGF, +$.023; HOF, +$.0136
· A significantly weaker trend was noted in cash ethanol markets on Wednesday: Chicago down 4 ¾; New York slid 4 ½; Gulf eased 4 ¼; Tampa declined 2 ¾; Dallas fell 1 ¾; and LA was 5 ½ lower $1.49 ½ per gallon
· Ethanol RINs sharply lower: 2014’s down 5 7/8 to 65 ½-71; 2015’s off 5 ¾ to 65-71; & 2016’s slipped 5 ¾ to 65-71
· The Jan RBOB/Jan Ethanol inverse tugged in $.0384 to -$.1622 per gallon at mid-week
LIVESTOCK/POULTRY ;
· Choice boxed beef eased 31-cents, are down $6.18 vs. last week and are at the lowest level of calendar year 2015
· Estimates for Friday’s USDA Cattle on Feed: Dec 1 on feed, 100.9%; Nov placements, 95.9%; Marketed in Nov 103.4%
· On Wednesday, USDA mandatory pork carcass declined $1.26 but is up 70-cents vs. a week ago
· CME Lean Hog Index was $0.02 lower at $55.88. February futures down $1.025 but are $2.02 above the index
Sources: Bloomberg, Dow Jones, AP, T-storm Weather