HIGHLIGHTS
· MARKET TREND: CH, Down $.0325; SF, Down $.0150; WH, Down $.0250; KWH, Down $.0475
· Global equities are trying to find some direction this morning. Asia was decidedly lower; Europe is mixed. Shanghai closed down 5.3%; the Hang Seng lost 2.8% and the Nikkei was off .4%. Europe finds the FTSE down -.07%; the CAC 40 is up .28% and the DAX is .47% higher. Despite China worries, pre-market indicators have Wall Street starting positive: DOW futures, +79; S&P500, +10 ¾; NAS, +20. Outside markets: Feb WTI, off $.54; $ Index +.011 at 98.61; gold, +$6.20 at $1,104.00
· T-storm Weather: Widespread coverage of heavy rainfall expectedly affected Center-West, Northeast, and Southeast Brazil over the weekend, but affected more of South Brazil and Paraguay than expected. Temperatures failed to reach 95°F in corn and soybean areas of Argentina and Brazil as seasonable to cool weather prevailed. The remnants of cool fronts cause occasional thunderstorms to affect key corn and soybean areas of Center- West, Southeast, Northeast Brazil, and Parana over the next two weeks, resulting in a continuation of above-normal rainfall. To the south, relatively-low humidity suppresses rainfall from eastern Argentina into southern Brazil over the next 7 to 10 days
· CH, Down $.0325 @ $3.5375; CK, Down $.0325 @ $3.5950. The funds bought 6 K on Friday
· SF, Down $.0150 @ $8.78; SH, Down $.03 @ $8.6225. Funds; bought 2 K SB; bought 2 K SBM and were even SBO. Del’y: 163 SBO
· WH, Down $.0250 @ $4.76; WK, Down $.0275 @ $4.811. The funds ended the week buying 6 K
CORN/SORGHUM ;      
· ATI Research: U.S. 2015/16 corn reported under loan as of Jan. 8 was 648.9 mbu. This is up 177.5 mbu (38%) from the 471.4 mbu of 2014/15 corn reported under loan at this time last year
· Jan. 12 USDA WASDE report: Avg. trade guess for U.S. corn 15/16 carryout is 1.781 bbu vs. 1.785 in December
· Jan. 12 USDA Grain Stocks report: Avg. trade guess for Dec. 1 U.S. corn stocks is 11.246 bbu vs. 11.211 last year
· Export Inspections released at 10 AM CST; Corn, 40.5 needed; 12.8 last week; Sorghum, 5.1 needed; 4.8 last week
SOYBEANS/WHEAT
· Jan. 12 USDA WASDE report: Avg. trade guess for U.S. soybean 15/16 carryout is 473 mbu vs. 465 in December
· Jan. 12 USDA Grain Stocks report: Avg. trade guess for Dec. 1 U.S. soybean stocks is 2.742 Bbu vs. 2.528 last year
· Export Inspections released at 10 AM CST; Soybeans, 20.5 needed; 55.5 last week
· Jan. 12 USDA WASDE report: Avg. trade guess for U.S. wheat 15/16 carryout is 918 mbu vs. 911 in December
· Jan. 12 USDA Grain Stocks report: Avg. trade guess for Dec. 1 U.S. wheat stocks is 1.694 bbu vs. 1.530 last year
· Jan. 12 USDA Winter Wheat Seedings: Avg. trade guesses; HRW, 28.8 (29.0 last year); SRW, 7.2 (7.1), White, 3.4 (3.4)
· Export Inspections released at 10 AM CST; Wheat, 16.8 needed; 12.8 last week
ENERGY
· Lower: CLG16,-$0.54, $32.62; EBG, -$0.73; EBG-CLG, $.21, -$.18; RBG, -$.0051; NGG, -$.059; HOG, -$.0139
· A steady to slightly firmer trend was noted in cash ethanol markets on Friday: Chicago up ¾; New York firmed 1 5/8; Gulf added 1 ½; Dallas climbed 1; Tampa steady; and LA was 2 higher at $1.45 per gallon
· Ethanol RINs were weaker: 2014’s off 1 3/8 at 69-69 ¼; 2015’s eased 3/8 to 69-69 ¼; and 2016’s declined ¾ to 68 ½-69
· The Feb RBOB/Feb Ethanol inverse gained $.0333 on Friday, rising to -$.2073/gallon
LIVESTOCK/POULTRY ;
· Choice boxed beef values were $1.61 higher on Friday, and at $232.20 are up $19.61 compared to Dec. 31
· Some cash dressed sales in the North occurred Friday near $210, which was generally $2 lower than the prior week
· The USDA mandatory pork carcass cutout increased 6-cents on Friday to $69.77 but is up $1.07 compared to Dec. 31
· CME Lean Hog Index was $0.23 higher at $53.73. February futures up $0.30 and are $6.12 above the index
Sources: Bloomberg, Dow Jones, AP, T-storm Weather