HIGHLIGHTS
· MARKET TREND: CORN: CZ Down $.0075; SOYBEANS: SX, Up $.0125; WHEAT: WZ, Down $.0075; KWZ: Up $.0025
· “Steady” appears to be today’s word for the global equity markets. In Asia, Shanghai closed down .37%; the Nikkei was off a mere .39% but the Hang Seng fell 1.2%. Europe is modestly higher: the FTSE is up .08%; the DAX, +.12% and France’s CAC 40, +.16%. U.S. futures point to a positive start: DOW, +81; NAS, +19; S&P 500, +8.50. Some are betting recent market volatility will coax the Fed into delaying a Sepember interest rate hike. China loans Venezuela $5 billion to help develop oil supplies; clever, these Chinese. Externals: $ Index, +1/4 of a point at 95.71; gold is $2.50 weaker at $1,136.20 & Oct WTI is $1.21 cheaper
· T-storm Weather: Unseasonably warm weather dominates over the next week. A few showers and thunderstorms accompany warmth, but most areas stay dry through at leastSaturday. A seasonably cooler pattern begins around Monday as the first in a series of cool fronts pass. Scattered thunderstorms initially focus on the northwest third of corn and soybeansSunday-Monday, most likely followed by another round of rain within next Wednesday-Friday. The end result is that a moderate to high probability for at least 0.75" of rain in western corn / soybean (and HRW wheat) areas tapers with eastward extent next week
· Sep Corn Down $.0125 at $3.5475; Dec Down $.0075 at $3.6825. The funds sold 7 K yesterday. Dely: 645
· Sep SB Up $.037 at $8.8850; Nov Up $.0125 at $8.7525 Funds: sold 6 KK SB, 4 K SBM, 5 K SBO. Dely: SBO, 427
· Sep Wheat Down $.0225 at $4.8175; Dec Down $.0025 at $4.86. The funds bought 1 KTuesday. Dely: 184 HRW; 45 SRW
CORN/SORGHUM ; ;    
· ATI Research: Combined old/new unshipped U.S. sorghum export sales of 133 mbu are record large for this time of year. Our bias is near-term exports will be on the order of 7.0 mbu per week
· Crop consultant: Hot/dry weather this week projected to lead to 1-2% drop in USDA Good/Excellent corn ratings
· U.S. corn dent for the week ending Sept. 6 was approx. 67% last year and the five-year average is approx. 75%
· Ethanol margins: $0.16 per gallon--down vs. $0.17 last week and below $1.07 last year. EIA report at 9:30 AM CDT
SOYBEANS/WHEAT
· ATI Research: We continue to expect Sept-Nov U.S. soybean exports to run 150 to 175 mbu below last fall’s pace
· T-storm Weather: A freeze for U.S. soybeans is not foreseen into at least mid-September
· Crop consultant: Hot/dry weather this week projected to lead to 1-2% drop in USDA Good/Excellent soybean ratings
· ATI Research: U.S. all wheat exports forecast to average 15-20 mbu per week short-term
· Kansas City December wheat futures closed at $4.82 ¼ on Tuesday—a new low settlement price for the contract
ENERGY
· Weaker: CLV15, -1.21, $44.20; EBV,-$0.94; EBV-CLV, $4.44, +$.29, RBV, -$.0106; NGV, -$.038; HOV, -$.0182
· EIA estimates: crude, +0.1 (API: +7.6); Gasoline, -1.5 (-1.0); Distillates, +1.2 (+0.25)
· A mostly weaker tone was noted in cash ethanol markets on Tuesday: Chicago down ½; New York up 1 ½; Gulf off 1 ¼; Dallas eased 2 ½; Tampa declined 3 ½; and LA was 2 ½ lower at $1.60 per gallon
· Ethanol RINs were mixed: 2013’s down 5/8 to 37-39; 2014’s up 1/8 to 39-40; and 2015’s eased 5/8 to 37-39
· The Oct RBOB/Sep Ethanol spread settled at -$.0614 Tuesday, against an 18 cent premium for RBOB on Monday
LIVESTOCK/POULTRY   ;
· Choice boxed beef values were down $1.03 on Tuesday, and at $241.21 are $2.65 lower compared to a week ago
· U.S. daily cattle slaughter for Tuesday was estimated at 110,000 head vs. 109,000 last week & 118,000 a year ago
· On Tuesday, USDA mandatory pork carcass cutout was up 27-cents, but at $85.58 is still down $2.23 vs. last week
· CME Lean Hog Index $0.47 lower at $77.23. October futures down $0.05 at $67.975 and are $9.255 below the index
Sources: Bloomberg, Dow Jones, AP, T-storm Weather