HIGHLIGHTS
· Market Trend: Corn, 1-2 Lower; Soybeans, 3-4 Lower; Wheat, Up 1-2. Europe: Wheat, Up 3 ½; Corn, off ¾
· Yesterday’s weak ISM data on U.S. manufacturing contributed to a sharp sell-off in U.S. equities and this has carried over to the Far East. The Nikkei plunged 2.61%; the Hang Seng lost 1.28% and Shanghai avoided the bleeding by taking a holiday. Europe is somewhat weaker this morning with both the FTSE and CAC-40 down nearly .20% and the DAX, a more modest .08%. U.S. futures suggest a weaker start: Dow, -15; S&P, -.75 and the NAS, -2.50. Energy futures are mostly lower with CLX off $2+; the $ Index is back below 86 (down .311 to 85.93) and gold is $.40 higher at $1,215/oz.
· T-Storm Weather: A strong and windy system develops widespread rain and stops corn / soybean harvesting and wheat planting across the Corn Belt and Delta into Friday. Temperatures plummet as the system passes, resulting in frosts and freezes across the northwest third to half of corn and soybeans. Thereafter, the central U.S. becomes sharply divided by unseasonable warmth to the south and unseasonable coldness to the north, which will help a few showers to occasionally unfold next week. Large temperature fluctuations also occur next week
· Dec Corn Down $.0175 at $3.1950; March Down $.0175 at $3.3225 The funds bought 2 K at mid-week
· Nov Soybeans Down $.0375 at $9.13; Jan Down $.0350 at $9.2150. Del’y: no data. Funds: bought 2 K SB/4 K SBO; sold 2 K SBM
· Dec Wheat Up $.0175 at $4.8075; March Up $.0275 at $4.95. The funds bought back 3 K yesterday
CORN/SORGHUM
· Export Sales to be released at 7:30 AM CDT. Trade expects 26 to 35mbu corn
· T-storm Weather: Widespread rain of 0.75”-1.50” develops across most of the Corn Belt and Delta through tonight
· Ethanol grind: 881 thou barrels per day for week end Sept 26—dn 8 thou vs. last week and up only 0.7% vs. last year
· December 2014 corn futures closed at $3.21 ¼ Wed.; one year ago, December 2013 corn contract closed at $4.39
SOYBEANS/WHEAT
· Export Sales: Soybeans, 26 to 37mbu; soymeal, 0-25 old-crop, 125-300 new-crop; soyoil, 0-10 old, -5-10 new-crop
· T-storm Weather: Widespread frosts & freezes remain likely Friday and/or Saturday mornings across the Dakotas & Minnesota; 10% to 40% of soybeans in the Dakotas, Minnesota & Wisconsin were not dropping leaves as of Sept. 28
· Nov. 2014 soybean futures closed at $9.16 ¾ Wed.; one year ago, the Nov. 2013 soybean contract closed at $12.68
· Export Sales: Trade expects 15-22mbu for all wheat
· T-storm Weather: South Brazil is too wet for wheat harvesting after receiving 150% to 300% of avg. rain last 30 days
ENERGY
· Futures are mostly lower: QCLX14,-$2.15 at $88.60; QRBX,-$0.0543; QNGX, +$.024; and QHOX, -$.0494
· Cash ethanol markets were weaker on Wednesday: Chicago slid 6 ¼; Gulf off 5 ½; New York lost 4; Tampa eased a penny; Dallas declined 1 ½; and LA was 1 lower at $1.72 ½ per gallon
· Mixed trend in RINs: 2012’s up ¼ to 44 ½-45 ½; 2013’s gained ¼ to 45 ¾-46 ¼; but 2014’s down 1/8 to 46-46 ½
· The November RBOB/October Ethanol spread narrowed in nearly 8 cents, to $.9167/gallon on Thursday
LIVESTOCK/POULTRY    
· Choice boxed beef values firmed 11-cents yesterday and have gained 48-cents over the last three days
· The USDA pork carcass cutout value eased 62-cents yesterday after increasing $3.59 over the previous two days
· CME Lean Hog Index up $0.49 to $109.45. October futures down $0.375 to $107.60 and are $1.85 below the index
· Broiler egg set last week was up 2.4% from last year and average set over the last four weeks is 2.9% above last year
Sources: Bloomberg, Dow Jones, AP, T-storm Weather