HIGHLIGHTS

·         Market Trend:  Corn, 2-3 Lower; Soybeans, 5-8 Lower; Wheat, 6 Lower

·         Manufacturing activity during May in China expanded for the 3 straight month, up .4 from April to 50.8 and suggested the country’s economic slow-down is stabilizing.  The news helped lift the Nikkei 2.1%.  China was off for a holiday; Europe started the day higher with the FTSE up .28%; the DAX, also up .28% and the CAC 40, .07% higher.  U.S. futures point to a firmer opening—Dow, +24; S&P, +1.50 and the NAS, +2.0. Outside markets find gold little changed at $1.245.60 per oz; energy futures are higher and the $ Index is up .148 at 80.665

·         T-Storm Weather: Scattered thunderstorms focus on the Corn Belt today.  A major thunderstorm cluster (1.33”-2.67” amounts) moves from Nebraska through the heart of the Corn Belt Tuesday-Wednesday (along I-80).  The exact setup is more muddled from Thursday forward, but scattered thunderstorm clusters develop within parts (not all) of the Plains and southwest half to two-thirds of the Corn Belt most days.  The thunderstorm clusters will result in slightly below-average temperatures in the northern third to half of the Corn Belt and Plains this week

·         July Corn Down $.0250 at $4.6325; September Down $.0250 at $4.5550.   The funds sold 4 K to close out the week

·         July Soybeans Down $.0525 at $14.88; August Down $.0450 at $14.20.  Funds: sold 4 K SB;  bought 1 K SBM and sold 6 K SBO

·         July Wheat Down $.0625 at $6.21; September Down $.0650 at $6.3325.  Fund selling totaled 2 K on Friday

CORN/SORGHUM

·         ATI Research: USDA Crop Progress report out at 3:00 PM CDT likely to show nationwide U.S. corn planting at 93-96% complete as of Sunday compared to 90% last year and the 5-year average of 94%

·         Export Inspections released at 10 AM CDT; Corn, 43.8 needed; 45.7 last week.  Milo—3.6 needed; 2.3 last week

·         Commitment of Traders report: Non-Commercial long corn futures only positions decrease 295 contracts

·         Updated NWS June forecast: Cooler-than-normal in northern Corn Belt; above-normal rain for nearly all the Corn Belt

SOYBEANS/WHEAT

·         ATI Research: Crop Progress report likely to show U.S. soybean planting at 75-80% vs. 55% last year and 70% avg.

·         Export Inspections released at 10 AM CDT; Soybeans, 4.2 needed; 3.3 last week

·         Commitment of Traders report: Non-Commercial long soybean futures only positions increase 5,415 contracts

·         ATI Research: U.S. spring wheat planting progress likely to show 82-87% vs. 80% last year and the 5-year avg. of 88%

·         Commitment of Traders: Non-Commercial long CBT wheat futures only positions increase 3,570 contracts

·         ATI Research: Winter wheat Good/Excellent likely to be near steady in USDA Crop Progress report

ENERGY

·         Futures are higher:  QCLN14, +$0.23 at $102.94; QRBN, +$0.0030; QNGN, +$.056; and QHON, +$.0007

·         A mostly weaker tone was seen in cash ethanol markets on Friday: Chicago was down 2; Gulf slipped 1 ½; Dallas and New York eased a penny; Tampa was steady; and LA edged up a penny to $2.80 per gallon

·         RINs were weaker: 2012’s down 1 ¼ at 45-46; 2013’s off ¾ at 46-47; and 2014’s were ¼ lower at 45-46

·         The July RBOB/June ethanol spread gained a ¼ cent on Friday to $.6315/gallon on Friday

LIVESTOCK/POULTRY                                  ​;                        ​ 

·         Choice boxed beef values eased 99-cents Friday and have declined $1.65 over the last two trading days

·         Cash cattle traded last week at $143 to $144, mostly steady with the week before

·         After falling $1.20 on Thursday, the USDA mandatory pork carcass cutout value increased $2.64Friday

·         The USDA’s Iowa/Minnesota average cash lean hog price fell $3.12 Friday to $106.33

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