HIGHLIGHTS
· Market Trend: Corn, CN Down ¾; Soybeans, SN Down ¼; WN, Up 3; KWN, Up 3-4
· Global equity markets are rather listless this morning. Greece is still trying to reach an agreement with other EU members while a decision by MSCI to omit Shanghai from its lists of global benchmarks caused very minor pressure on Shanghai, down .15%. The Nikkei lost .25% and the Hang Seng, -1.25% on fears from an outbreak of MERS. Europe has taken a positive turn despite the impasse: DAX, +.96%; CAC 40, +.59% and FTSE, +.29%. U.S. pre-market indicators are positive: DOW futures, +57; NAS, +16; S&P, +7.50. Outside markets: July crude is up $1.10; gold is 9.90 to the plus side at $1,187.20 and the $ Index is off a ½ point
· T-storm Weather: A textbook setup for numerous rounds of thunderstorms beginsThursday-Friday and continues for five consecutive days across the Corn Belt and central / southern Plains as: 1) a series of waves move across the central U.S., including the humidity-laden remnant of Hurricane Blanca that is currently bringing rain to the desert southwest, and 2) a large-scale influx of humidity transports unfiltered tropical air into the central U.S.. Energy and humidity intersect to produce widespread rainfall of 1.75" to 3.25"
· July Corn Down $.0075 at $3.6425; Sep Down $.01 at $3.7150. The funds bought 3 KTuesday
· July SB Down $.0025 at $9.5125; Aug Steady at $9.37. Funds: again bought 5 K SB; bought 6 K SBM; sold 3 K SBO
· July Wheat Up $.03 at $5.3525; Sep Up $.02 at $5.4075. The funds bought 4 K yesterday
CORN/SORGHUM       ;
· ; USDA WASDE at 11:00 AM CDT: Avg. trade guess for 14/15 U.S. corn carryout, 1.865 bbu; avg. for 15/16, 1.772 bbu
· USDA WASDE at 11:00 AM CDT: Avg. trade guess for 2015 U.S. corn production, 13.651 bbu vs. 13.630 in May
· ATI Research: U.S. corn export sales for 15/16 are 87 mbu—down 26% from last year and a 5-year low
· Ethanol margins: $0.40 per gallon--down vs. $0.47 last week and below $0.92 last year. EIA report at 10:00 AM CDT
SOYBEANS/WHEAT
· USDA WASDE at 11:00 AM CDT: Avg. trade guess for 14/15 U.S. soybean carryout, 341 mbu; avg. for 15/16, 483 mbu
· USDA WASDE at 11:00 AM CDT: Avg. trade guess for 2015 U.S. soybean production, 3.846 bbu vs. 3.850 in May
· ATI Research: U.S. soybean planting progress for week end June 14 approx. 91% last year; 5-year avg. is approx. 90%
· USDA WASDE: Avg. guess 2015 U.S. winter wheat, 1.466 bbu; HRW, 0.850, SRW, 0.412, White, 0.204
· USDA WASDE: Avg. trade guess for 14/15 U.S. all wheat carryout is 714 mbu; avg. guess for 15/16 is 794 mbu
· ATI Research: U.S. HRS wheat crop model down 2 mbu to 524 mbu
ENERGY
· Higher: CLN15, +$1.10 at $61.24; EBN, +$1.22; EBN-CLN, +4.81, +$.07, RBN, +$.0358; NGN, +$.015; HON, +$.0261
· EIA estimates: crude, -1.8 (API: -6.7); Gasoline, +0.0 (-3.9); Distillates, +1.3 (+0.04)
· Cash ethanol markets were steady to slightly lower on Tuesday: Chicago, New York, Tampa and Dallas all down ½; Gulf unchanged; and LA was also ½ lower at $1.69 per gallon
· RINs were firmer: 2013’s up 2 at 38-41; 2014’s climbed 2 at 38-41; and 2015’s added 2 to 38-41
· The July RBOB/July Ethanol spread widened nearly 7 cents to $.52510/gallon on ample Gulf inventories
LIVESTOCK/POULTRY    
· Choice boxed beef values were up $3.09 to $247.20 on Tuesday, but are $4.39 lower compared to a week ago
· June live cattle futures closed at $155.075 on Tuesday—the highest settlement price for the contract since Jan. 7
· On Tuesday, the USDA mandatory pork carcass cutout gained $1.92 but at $86.01, is 7-cents lower vs. last week
· CME Lean Hog Index down $0.07 at $82.30. June futures were down $0.35 at $81.20 and are $1.10 below the index
Sources: Bloomberg, Dow Jones, AP, T-storm Weather