HIGHLIGHTS

·        Market Trend: Corn, CN Up $.03; Soybeans, SN Up $.0350; Wheat, WN, Up $.04;  KWN, Up $.0275

·        China’s flash PMI of 49.1 revealed the 3^rd straight month of contraction, below the 49.3 consensus  and has traders betting on more stimulus efforts.  Shanghai closed up 1.89% as a result while the Hang Seng slipped .22% and the Nikkei was little changed, +.3%.  Europe’s PMI had the same trend but no such response:  FTSE, -.10% at mid-day; DAX, off .50% and the CAC 40, down .46%.  The take-away on the Fed minutes suggests proof of sustained gains in labor market and inflation needed before a rate hike is likely.  Housing data today expected to show existing home sales up 1%; jobless claims seen at 271 K, +7.  Pre-markets weaker:  DOW, -32; S&P, -4 ½; NAS, -14 1/2. QCL, +$.85/bl; $ Index, -.345 and gold, +$.30 to $1,209/oz

·        No change in the outlook as numerous ystems combine with increasingly warm and muggy air to trigger areas of rain and t-storms over the next 10 days, and potentially longer. Widespread rainfall of 1.50" to 3.00"+ results across a large area, initially focused on wet to flooded areas of the central and southern Plains over Thursday-Sunday, and a larger area of the central U.S.  Saturday throughMonday. Some areas of southern Texas and northern Oklahoma received 10.00" to 20.00" of rain over the last 60 days, against averages of around 6.00".  Overnight temps mostly in the low 40s, pockets of low 30’s far west ND & SD

·        July Corn Up $.03 at $3.63; Sep Up $.0250 at $3.6925.      The funds sold 5 K

·        July SB Up $.0350 at $9.4475; Aug Up $.0350 at $9.3525.   Funds: again sold 6 K SB; 4 K SBM and bought 2 K SBO

·        July Wheat Up $.0425 at $5.1725; Sep Up $.0450 at $5.2425.   The funds bought 2 K yesterday

CORN/SORGHUM                               &nbs​p;                        ​;                        ​                         ​                        &​nbsp;  

·        CORN EXPORT SALES AT 7:30: 16-24 O/C expected, 11.9 needed; 2-8 N/C expected

·        SORGHUM EXPORT SALES:  1.9 per week needed

·        Monday’s crop ratings had Illinois at a rather stellar 82%

·        Weekly ethanol output rebounds 5% to 958 Kbpd; modest stocks build of 135 K to 2.043 million

SOYBEANS/WHEAT

·        SB EXPORT SALES: 4-9 old crop expected (-1.3) needed; 6-13 seen for new crop

·        WHEAT EXPORT SALES: old crop seen at -7 to +2 (3.9 needed); new crop range is 7-13 mbu

·        SBM/SBO EXPORT SALES: 50-125 k MT O/C (65.5 needed); 0-75 N/C; SBO: 0-15 O/C (8.8); N/C: 0-10

·        Ukraine’s Ag Minister agrees with USDA on 15/16 wheat potential, up 1 to 22.0 MMT

·        SX2015 made another new low yesterday, down 3 ¾ to $9.19 ¾

ENERGY

·        Higher:  CLN15, +$0.82; EBN, +$0.94; EBN-CLN, +6.19, RBN, +$.0191; NGN, +$.0390; HON, +$.0222

·        Output jump weighs on cash ethanol markets:  The Gulf lost 8 ½ cents; Tampa slide 8; Chicago fell 7 ¾ cents to $1.61; Dallas was down 7  ½; LA at $1.78 was 5 ½ lower and NY eased 4 cents

·        EIA stocks (estimates): Crude,-2.7 (-1.1); Gasoline, -2.8 (+0.3); Distillates, -.55 (+0.1).  Implied gasoline demand up 1.0% versus a year ago with the 4-week average 1.1% higher

·        RINs—weaker:  2013’s lost 2 to 71-73 ½; 2014’s were down 2 ¼ to 71 ½- 74 ½; and 2015’s also lost 2 to 69-72 ½

·        The June RBOB/June Ethanol spread was under considerable pressure, widening 10 ½ cents to $.4431/gallon

LIVESTOCK/POULTRY               &nb​sp;                        &nb​sp;             

·        Cho​ice boxed beef values eased 61-cents on Wednesday, but are $1.81 higher compared to a week ago

·        Light cash cattle trading developed on Wednesday at mostly $159, down around $1 from last week

·        USDA mandatory pork carcass cutout gained 64-cents on Wednesday and is up $2.87 from a week ago

·        CME Lean Hog Index gained $0.48 to $83.05.  June futures $0.40 higher at $82.55, but are $0.50 below the index

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