HIGHLIGHTS
· Market Trend—Corn, Down ½ ; Soybeans, Down 3-4; Wheat, Down 2
· Overseas markets are mostly higher this morning on expectations the Fed will not rush into a cut-back in its stimulus efforts, noting that September hiring and durable goods orders fell short of expectations. The Nikkei gained 2.2%; the Hang Seng, ½% and the Shanghai Composite edged higher as well. Europe is mixed with both the FTSE and DAX trading to the plus side while France’s CAC-40 is .1% lower. Global CFO survey by CNBC sees improving international growth the next 6 months. Futures: Dow, +25; S&P, +2.25; Nasdaq, +7.50. Outside markets: Gold, -$1.30; energies, lower; $ Index, up .039 to 79.285
· Following a clear weekend for harvesting and mostly dry conditions today, a much different weather picture is shaping up for later this week. Rain is expected to start in the western Corn Belt late tonight and continue into Tuesday. The system will move east and encompass the entire central Midwest Tuesday night into Thursday. Heaviest rain is forecast in the southern half of the Midwest and Delta. Temps start out the week near average but gradually cool into the weekend.
· Dec Corn Down $.0025 at $4.3975; Mar Corn Down $.0025 at $4.5175. The funds were even on Friday
· Nov SB Down $.0425 at $12.9575; Jan SB Down $.0350 at $12.90. Funds sold 5 K SB, 4 K SBM and 4 K SBO Friday
· Dec Wheat Down $.02 at $6.8875; Mar Wheat Down $.0250 at $6.9925. Funds sold 4 KFriday
CORN/SORGHUM
· Widespread rainfall forecast for Midwest starting midweek and is likely to at least temporarily slow corn harvest
· Corn harvest for week ending Oct. 27 likely to be near 50%, which is well below last year’s 90% & trailing the 62% avg.
· Export Inspections released at 10 AM; Corn, 23.9 needed; 32.3 last week. Milo—3.0 needed; 3.9 last week
· Buenos Aires Grains Exchange reports corn planting is 27% complete in Argentina, which is up from 19% last week
· Commitment of Traders report: Non-Commercial long corn futures positions increase 4,992 contracts
SOYBEANS/WHEAT
· Remaining soybean harvest likely to be put on hold later this week due to widespread rainfall forecast for Midwest
· Soybean harvest for week end Oct. 27 likely to be near 75%--well behind last year’s 86% and trailing the 77% avg.
· Export Inspections released at 10 AM CDT; Soybeans, 26.6 needed; 59.3 last week
· Buenos Aires Grains Exchange reports soybean planting is 2% complete in Argentina
· Commitment of Traders report: Non-Commercial long soybean futures positions decrease 16,349 contracts
· Winter wheat planting for week end Oct. 27 likely to be 85-90% vs. 87% last year and close to the avg. of 85%
· Export Inspections released at 10 AM CDT; Wheat, 16.5 needed; 20.6 last week
· Buenos Aires Grains Exchange reports wheat harvest is 3% complete in Argentina; production forecast is 10.4mmt
· Commitment of Traders: CBT Non-Commercial long wheat futures positions decrease 439 contracts
ENERGY
· The energy markets are generally lower: QCLZ13, -$0.17 at $97.68; QRBZ, -$0.0014; QNGZ, -$.076 and QHOZ, +$.0127
· Cash ethanol markets were mostly firmer on Friday: Chicago, Gulf and Tampa were all 2 ½ higher; NY up 1 ½; Dallas 3 higher; and LA was 4 lower at $2.18 ½ per gallon
· RINs, lower yet again: 2012’s down 2 ½ to 21-25; 2013’s also off 2 ½ to 22-26; and 2014’s down 3 at 22-26
· The November RBOB/ethanol settled at $.7260 on Friday, narrowing by 3 ¾ cents per gallon
LIVESTOCK/POULTRY    
· Nearby cattle futures reached a record high of $134.90 on Friday, passing the previous high from January
· After gaining $5.04 over the previous five trading days, Choice boxed beef values eased 10-centsFriday
· After increasing $1.04 on Thursday, the USDA pork carcass cutout value eased 78-cents Friday
· The USDA’s Iowa/Minnesota average cash lean hog price fell $1.15 Friday to $84.72
Sources: Bloomberg, Dow Jones, AP, T-storm Weather