HIGHLIGHTS
· Market Trend: Corn, CK Up $.0225; Soybeans, SK Up $.0050; Wheat, WK Up $.0125
· Asian markets continued to struggle: despite a short-lived attempt at recovery Shanghai closed 1.6% lower; the Hang Seng ended down .4% and South Korea’s Kospi closed down 1.3%. The Nikkei had the day off. Europe is starting off higher, led mostly by positive U.S. futures; a solid April PMI for the Eurozone and Greece made a debt payment: DAX, +.76%; CAC 40, +.55% & FTSE, +.27%. U.S. pre-markets: DOW, +43; NAS, flat; S&P, +4. Externals: CL is up $1.60; $ Index, down .300 and gold, $3.30 lower
· T-storm Weather: Numerous rounds of rain and thunderstorms affect the Corn Belt and Plains through May 11-12, while dry weather occurs in the Delta and southeast Corn Belt into the weekend. Planting slows in the western half of the Corn Belt today, then across the rest of the Corn Belt Thursday-Friday, and most likely the Delta within Saturday-Sunday. HRW wheat also turns very wet from widespread rainfall of 2.00" – 4.00". Despite a multi-day period of cooling that begins Friday-Saturday in the northern Plains, and sweeps across the Corn Belt early next week, unseasonable mildness generally dominates through two weeks
· May Corn Up $.0225 at $3.6350; July Up $.0150 at $3.6425. Dely: Corn, 0; ETOH, 17. Funds sold 4 K
· May SB Up $.0050 at $9.94; July Up $.0225 at $9.87. Dely: SB, 1; SBO, 333. The Funds bot 4 K SB; 2 K SBM; 4 K SBO
· May Wheat Up $.0125 at $4.6525; July Up $.0325 at $4.6975. Dely: HRW, 8; SRW, 68 The funds again sold 2 K
CORN/SORGHUM       ;
· December 2015 corn futures traded $3.72 ¼ Tues.—the lowest price since Oct. 6—but closed $0.01 ¼ higher at $3.79
· T-storm Weather: The pattern beyond May 12 is probable to produce at least near-average rainfall for the Corn Belt
· ATI Research: U.S. corn planting progress for the week ending May 10 was approx. 55% last year and the 5-year avg. is approx. 57%. Corn emergence for the same period last year was approx. 16% and the 5-year avg. is approx. 24%
· ATI Research: Near-term weekly U.S. export forecasts—corn, 35-40 mbu; sorghum, 4-6 mbu
· Ethanol margins: $0.55 per gallon, unchanged vs. last week but below $0.63 last year. EIA report at 9:30 AM CDT
SOYBEANS/WHEAT
· ATI Research: U.S. soybean planting progress for week end May 10 approx. 18% last year & 5-year avg. is approx. 20%
· ATI Research: Expect near-term weekly U.S. soybean exports to average 6-8 mbu
· Private crop consultant: Argentina soybean crop estimated at 59.0 MMT (USDA at 57.0) and could move higher
· New contract lows were made on Tuesday in the July contracts for Chicago, Kansas City and Minneapolis, respectively
· T-storm Weather: Dryness no longer a concern for most HRW, but potential for excessive wetness is being monitored
ENERGY
· Mostly Higher: CLM15, +$1.63; EBM, +$1.52; EBM-CLM, +7.03, RBM, +$.0226; NGM, -$.012;HOM, +$.0345
· EIA estimates: crude, +1.1 (API: -1.5); Gasoline, +0.5 (+.4); Distillates, -0.2 (+.746)
· A steady to firmer trend was seen in cash ethanol markets on Tuesday: Chicago added 1 ½; New York steady; Gulf up ½; Dallas gained 2; Tampa climbed ¼; and LA was a penny higher at $1.81 per gallon
· Mixed trend in RINs: 2013’s down 1/8 to 74 ¾-76; 2014’s eased 3/8 to 75 ¾-77; and 2015’sup 1/8 to 74 ¾-75
· The June RBOB/May Ethanol spread gained back most of what it lost on Monday, up $.0415 to $.4344/gal
LIVESTOCK/POULTRY  
· Choice boxed beef values were 8-cents lower on Tuesday and have declined $2.16 vs. last week
· Daily estimated cattle slaughter on Tuesday was 114,000 vs. 115,000 a week ago and 120,000 last year
· The USDA mandatory pork carcass cutout value was $1.81 higher Tues., is up $4.76 v. last week & highest since Feb. 3
· CME Lean Hog Index up $1.87 to $73.04. May futures up $2.075 to $79.00 and are $5.96 above the index
Sources: Bloomberg, Dow Jones, AP, T-storm Weather