HIGHLIGHTS
· Market Trend: Corn, CN Down $.01; Soybeans, SN Down $.0525; Wheat, WN, Down $.03; KWN, Down $.0225
· A strong dollar and favorable U.S. housing data propelled some Asian markets higher overnight. Shanghai gained .7%; the Nikkei, +.85% and the Kospi, up .88%. Greece (may not make an IMF debt payment) and so the wires say, the next release of the Federal Reserve’s minutes pushed both the DAX and CAC 40 lower. U.S. futures are positive: DOW, +13; NAS, +6.20 & S&P, +0.75. Outside markets: $ Index, +.373 @ 96.05; gold, +$1.30 @ $1,208 and energies are higher with July WTI up $.59
· Several storm systems move across the central U.S. over the next week, producing widespread coverage of heavy rainfall through Sunday across the C/SD Plains, and returning rain and t-storms to most other areas Sun-Tues. Temperatures will stay cool into the weekend, then turn sharply warmer early next week as daily highs in the low-80s to low-90s become more common; warmest in the southern Plains. The warmer pattern is likely to shift the main storm track further to the north, ultimately resulting in rounds of rain in the Corn Belt
· July Corn Down $.01 at $3.61; Sep Up $.0125 at $3.68. The funds sold 7 K on Tuesday
· July SB Down $.0525 at $9.41; Aug Down $.0550 at $9.3250. Funds: sold 6 K SB; 1 K SBM and 5 K SBO
· July Wheat Down $.03 at $5.0725; Sep Down $.0275 at $5.1525. Fund selling totaled6 K yesterday
· ATI Research: Corn inspections of 43.6 million surpassed trade ideas of 35-39 mbu; on-going demand from Other WHemi and Japan lifts ATI export forecast to 1.825 bbu
· 4-week corn export average of 46 mb/week is more than 15 mbu above the 5-year average for mid-May
· U.S. corn exports to Western Hemi markets up 21% from 13/14; record pace with unshipped sales 13% above LY
· Of the large corn producing states, only NE (-2%) is behind 5-year average; all others from 6% (IN) to 32% (WI) ahead
SOYBEANS/WHEAT
· ATI Research: ATI All Wheat Model increases 13 million to 1.447 bbu. HRW, 846 (840 LW); SRW, 407 (401); White, 195 (193)
· ATI Research: U.S. wheat carry-out remains at 704 mbu (USDA: 709)
· ATI Research: Old crop soybean sale to China, recent business to Europe raises export estimate by 10 to 1.8 bbu
· SX2015 made new contract low on Tuesday, falling 11 ½ cents to $9.23 ½
· Non-PRC demand for U.S. soybeans strong: unshipped sales at 6-year high despite near 500 mbu S AM crop rise
ENERGY
· Higher: CLN15, +$0.59; EBN, +$0.89; EBN-CLN, +6.29, RBN, +$.0246; NGN, +$.040; HON, +$.0192
· Cash ethanol markets were softer Tuesday: Tampa fell 5 ½ cents; Dallas was 4 lower with both the Gulf and LA off 2 ½ cents. New York eased 1 ½ cents and Chicago was down $.03 to $1.675
· EIA estimates (API): Crude, -1.1 (-5.2); Gasoline, +0.3 (-1.2); Distillates, +0.1 (+0.2); ETOH prod: 930 K bpd, +/-
· RINs—firmer: 2013’s up 3 ¾ to 73 ½ - 75; 2014’s rose a like amount to 74 ½-76; and 2015’s were +2 ¼ to 72 ½-73
· The June RBOB/June Ethanol spread narrowed further, in $.0161 to $.3380 per gallon
LIVESTOCK/POULTRY    
· Choice boxed beef values gained $2.67 on Tuesday and are $4.63 higher compared to a week ago
· Cash cattle are called steady on Wednesday. Packer bids are $157 in the South while asking prices are around $163
· USDA mandatory pork carcass cutout gained 92-cents lower on Monday and is up $3.48 from a week ago
· CME Lean Hog Index gained $0.51 to $82.57. June futures $0.25 lower at $82.15 and are $0.42 below the index
Sources: Bloomberg, Dow Jones, AP, T-storm Weather