HIGHLIGHTS
· Market Trend—Corn, 2-3 Higher; Soybeans, 7-8 Higher; Wheat, Up 2-3
· Fed members possibly considering tapering back bond purchases even in the absence of hard evidence of an improving jobs market—spooks global equities. Most Asian markets took this as a negative, dropping anywhere from .4% to 1.2% with the lone exception being the Nikkei, up 1.9% on a weak yen. Europe is down this morning while U.S. futures point to a slightly higher start. Outside markets: gold, off $10.80 at $1,247; energies are higher and the $ Index is .132 lower at 81.04
· T-storm Weather: Scattered thunderstorms improve soil moisture in southern Brazil and Paraguay through tonight with 0.75”-1.50” amounts most common. A notably wetter pattern is also forecast for driest areas of Minas Gerais overNov. 22-30 resulting in above-average amounts of 2.00”-4.00” for vegetative corn and soybeans. Dry weather continues across Argentina into Sunday to support corn and soybean planting as well as wheat harvesting. Changes beginSunday afternoon and continue through Monday-Tuesday as scattered thunderstorms occur; 0.50”-1.00” amounts are forecast
· Dec Corn Up $.03 at $4.20; Mar Corn Up $.0175 at $4.27. Funds sell 3 K Wednesday
· Jan SB Up $.0775 at $12.8150; Mar SB Up $.0750 at $12.7175. Funds even on SB, sell 3 K SBM, buy 3 K SBO
· Dec Wheat Up $.0250 at $6.4975; Mar Up $.0250 at $6.58. Funds sell 2 K yesterday
CORN/SORGHUM
· Export Sales at 7:30 AM CST. Trade expects 30 to 37mbu corn. Watching to see if China makes additional purchases
· ATI Research: Since the harvest price for 2013 crop insurance was determined on Oct. 31, the price of December 2013 corn futures has declined $0.1125. Over the same time period, December 2014 corn futures is down $0.1575
· Weekly ethanol production fell 23 thous barrels per day last week to 904 thous, although that’s still up 11% vs. 2012
· Private estimates pegging 2013/14 Brazilian corn production at 68.5 MMT vs. the latest USDA forecast of 70.0
· T-storm Weather: Wetness issues in parts of the U.S. Corn Belt are most problematic in Wisconsin, where 55% of its production received at least two-times its rainfall over the last 2 weeks; 26% of its corn was unharvested as of Sunday
SOYBEANS/WHEAT
· Export Sales: Trade expects 24 to 31mbu soybeans; soymeal, 200-350 K MT; soyoil, 30-80 KMT
· T-storm Weather: Most soybean areas in Argentina were not particularly wet over the last 14 days, which indicates that conditions for planting are improved
· ATI Research: Strong soybean demand for U.S. origin is likely into spring, which is in contrast to ideas for record planted acreage in both South America this fall and in the U.S. for 2014
· Export Sales: Trade expects 14 to 17mbu for all wheat. Watching to see if lower prices stimulated sales
· Private exporters reported export sales of 110,000 metric tons of soft red winter wheat for delivery to Egypt during the 2013/2014 marketing year, the USDA said Wednesday
ENERGY
· Energy markets are all positive: QCLF14,+$0.25 at $94.10; QRBF, +$0.0060; QNGF, +$.009 andQHOFZ, +$.0065
· Steep increases seen in cash ethanol markets on Wednesday: Chicago increased 31; Gulf up 24; Tampa was 20 higher; Dallas gained 13; New York climbed 23; and LA was up 14 to $2.52 per gallon
· RINs steady to higher: 2012’s gained 1 to 18-19; 2013’s steady at 19-20; & 2014’s up ½ to 19 ½-21
· The December RBOB/December ethanol spread narrowed in 8 cents to $.7230/gallon
LIVESTOCK/POULTRY    
· After falling $3.99 over the previous four trading days, Choice boxed beef values bounced 32-cents yesterday
· Cash cattle markets are quiet with feedyard offers at $134, but no packer bids reported. Cattle traded LW at $132
· The USDA mandatory pork carcass cutout value fell $1.04 yesterday and has lost $2.88 over the last two days
· The USDA’s Iowa/Minnesota average cash lean hog price eased 29-cents yesterday to $78.64
Sources: Bloomberg, Dow Jones, AP, T-storm Weather