HIGHLIGHTS
· MARKET TREND: CORN: CU, Up 1 ¼; SOYBEANS: SU, Up 1 ¼; WHEAT: WU, Up ½; KWU: steady
· Volatility remains the norm for Shangai: bouncing back from 5% down to closing up 1.2%; the Nikkei retreated 1.6% and the Hang Seng was down 1.3%. Europe is lower as markets approach the mid-day break: DAX, -.96%; FTSE, -.85% and the CAC 40, -.56%. Wall Street looks as if it is headed for a lower opening: futures have the DOW down 61; the S&P 500 is 6 lower and the NAS, down 12. External markets find the energies mixed with Oct WTI 28 cents lower; the $ Index is off .105 at 96.965 and gold is $4.50 to the plus side at $1,121.60.
· T-storm Weather: A large system brings moderate to heavy rain to much of the central U.S. today, especially the northwest half of the Corn Belt where rain impacted some of the driest areas of northeast Iowa on Tuesday. Several days of drying follow in all areas before a cool front triggers scattered (not widespread) thunderstorms Saturday-Sunday. Temperatures average cooler to much cooler than normal over the next week, especially in western growing areas. A warmer pattern begins around August 26-27, helping a few thunderstorms to form in northern areas, while southern areas turn drier
· Sep Corn Up $.0125 at $3.6775; Dec Up $.0150 at $3.7875. The funds bought 4 K Tuesday
· Sep SB Up $.0150 at $9.1475; Nov Up $.0175 at $9.06. Fund selling totaled 6 K SB, 4 K SBM and 8 K SBO
· Sep Wheat Up $.0050 at $4.9475; Dec Steady at $4.9875. The funds again sold 4 K yesterday
CORN/SORGHUM ;      
· ATI Research: Argentina remains the world’s cheapest origin for corn at $158 per MT
· Crop consultant: The condition of the 2015 U.S. corn crop has changed very little over the last five weeks when normally it declines on a weekly basis this time of year
· U.S. corn dent for the week ending Aug. 23 was approx. 33% last year and the five-year average is approx. 43%
· Ethanol margins: $0.21 per gallon--up vs. $0.34 last week but below $1.02 last year. EIA report at 9:30 AM CDT
SOYBEANS/WHEAT
· T-storm Weather: At least a few thunderstorms form from the middle of next week forward; near-normal rainfall is most probable across the northern third to half of soybeans with drier weather to the south
· ATI Research: Latest NOPA crush report suggests the latest USDA annual crush forecast may still be too low
· Crop consultant: Condition of U.S. soybean crop has changed very little the last two months when it normally declines
· ATI Research: Near-term U.S. all wheat weekly exports are forecast to range from 15-20 mbu over the next month
· T-storm Weather: Most Argentina wheat to be dry the next 7-10 days, which is helpful after recent exceptional rain
ENERGY
· Mixed: CLV15, -0.23, $42.89; EBV,+$0.05; EBV-CLV, $5.97, +$.28, RBV, -$.0165; NGV, +$.002; HOV, +$.0012
· EIA estimates: crude, -1.1 (API: -2.3); Gasoline, -1.4 (-1.5); Distillates, +1.2 (+0.8)
· Cash ethanol markets were mixed: Chicago rose 1 3/8’s to $1.48; the Gulf was 2 higher; NY picked up 1 ¼; Dallas held steady; Tampa lost 2 cents and LA declined 1 ½ cents to $1.66/gallon
· Ethanol RINs firmer: 2013’s up 3/8’s at 39-39 ¾; 2014’s were 5/8’s higher at 40-40 ¾ & 2015’s, + 3/8’s to 39-39 ¾
· The Sep RBOB/Sep Ethanol spread ilost 3 ¼ cents yesterday, falling to $.1518/gallon
LIVESTOCK/POULTRY   </wbr>
· Early guesses for Friday’s USDA Cattle on Feed: On feed, up 2%; July placements, up 1-2%; July market, down 3-4%
· U.S. daily cattle slaughter for Tuesday was estimated at 110,000 head vs. 112,000 last week & 115,000 a year ago
· CME Lean Hog Index on Tuesday was up $0.10 at $78.80 and has gained $0.35 the past three days
· U.S. daily hog slaughter for Tuesday was estimated at 428,000 head vs. 423,000 last week and 409,000 a year ago
Sources: Bloomberg, Dow Jones, AP, T-storm Weather