HIGHLIGHTS

·         Market Trend—Corn, Down 1-2; Soybeans, 1/2-2 Higher; Wheat, 1-2 Higher   

·         A survey of Chinese manufacturing pegged September output at a 6-month high (PMI:  51.2 versus 50.1 in August), lifting the Shanghai composite 1.3%. The Nikkei was closed for a holiday; the Hang Seng was off .6%.  Early European activity has 2 (Germany and France) out of 3 markets higher. New business orders in the EU suggest an improving economy as they grew at their fastest pace in more than 2 years, surpassing all trade estimates. U.S. futures are indicating a higher start with the Dow up 19; the S&P 2 ½ points higher and the Nasdaq, up 9 ¾.  Gold is down $10.40 at $1,322 per oz; the $ Index is slightly lower at 80.525 and energies are mostly higher. 

·         The past 24 hours was clear and dry across the virtually the entire Corn Belt with only limited showers reported.  T-Storm is calling for above average temperatures and below normal precipitation for much of the Central U.S. the next 10-14 days which should accelerate harvest activities.   In South America, Argentina will be on the cool side with an absence of rain forecast for the principal wheat and corn growing areas.  Rain expectations are improving for key parts of Brazil’s Center-West.  Over the weekend, 1 ½ to 3 ½” amounts fell from N RGDS into S Parana with lighter amounts north into southern MGDS.

·         Dec Corn Down $.0175 at $4.4925; Mar Corn Down $.0175 at $4.4925.  The funds sold an estimated 7 K on Friday

·         Nov Soybeans Up $.0050 at $13.1575; Jan SB Up $.0075 at $13.1875.  Funds:  sold 10 K SB, 8 K SBM and 7 K SBO

·         Dec Wheat Up $.0150 at $6.4775; Mar Wheat Up $.0125 at $6.5825.  Fund selling totaled 4 K on Friday

CORN/SORGHUM

·         USDA likely to show +/- 1 point change in Good/Excellent crop ratings for corn in Crop Progress report

·         Corn mature for week ending Sept. 22 likely to be 35-40%, which is well below last year’s 86% and the average of 58%

·         Corn harvest for week ending Sept. 22 likely to be 5-10%, which is well below last year’s 37% and the average of 16%

·         Export Inspections released at 10 AM; Corn, 23.9 needed; 20.1 last week.  Milo—3.0 needed; 5.8 last week

·         Commitment of Traders report: Non-Commercial long corn futures positions increase 20,112 contracts 

SOYBEANS/WHEAT

·         USDA likely to show a +/- 1 point change in Good/Excellent crop ratings for soybeans in Crop Progress report

·         Soybeans dropping leaves for week end Sept. 22 likely to be 45-50%--well behind last year’s 71% and the 56% avg.

·         Export Inspections released at 10 AM CDT; Soybeans, 27.3 needed; 3.0 last week

·         Commitment of Traders report: Non-Commercial long soybean futures positions increase 635 contracts

·         Export Inspections released at 10 AM CDT; Wheat, 18.4 needed; 46.0 last week

·         Commitment of Traders: CBT Non-Commercial long wheat futures positions decrease 1,462 contracts

ENERGY

·         Energy markets: mostly higher:  QCLX13, up $.19 to $104.95; QRBX, +.0045; QNGX, -$.028 and QHOX, +$.0048

·         Spot ethanol prices were again higher on Friday, led by Chicago which was up 6 ¼.  The Gulf gained 5 and NY, 4 ½ cents.  Both Dallas and Tampa moved up 2 cents per gallon with only LA was unchanged

·         RINs: 2012’s eased 3 cents to a 53-57 cent range; 2013’s slipped 2 ½ cents to 55-58 and 2014’s eased a ½ cent and were in a 55-62 cent range

·         The Oct RBOB/ethanol spread settled at $.8182 per gallon on Friday, off 2/10’s of a cent

LIVESTOCK/POULTRY                    &nbs​p;                        ​;              

·  &nbs​p;      Choice boxed beef values eased 62-cents Friday and declined 90-cents over the last two workdays of the week

·         USDA Cattle on Feed showed Aug Placements down 11% from last year and smallest on record, Sep 1 on feed off 7%

·         Cash cattle traded Friday at mostly $124, up $1 from the week before

·         The USDA pork carcass cutout value gained $1.67 Friday and is up $2.63 from a week earlier

·         The USDA’s Iowa/Minnesota average cash lean hog price fell $1.64 Friday to $93.41

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