HIGHLIGHTS
· Market Trend: Corn, Mixed; Soybeans, 3-7 Higher; Wheat, 4 Lower
· Déjà vu—markets said to be nervous ahead of next week’s Federal Reserve meeting/interest rate implications. Nikkei gains .3%; Hang Seng slips .3%; Shanghai posted a .9% increase. Europe has the CAC 40 and DAX down .2-.3%, respectively; the FTSE is .2% higher. U.S. futures are all very slightly positive: Dow, +1; S&P, +.25; Nasdaq, +.25 as Wall Street awaits U.S retail sales and U of MI consumer sentiment data this morning. Energy futures are all higher; the $ Index is little changed at 84.305; gold, down $.90
· T-Storm Weather: Light rain generally focuses on the central / southern Plains and Iowa today. Frosts affect portions of the central / northern Plains and northwest third to half of the Corn Belt withinFriday and Saturday mornings, especially Saturday due to limited cloudiness. A milder pattern gradually follows, helping a few thunderstorms to form in the Corn Belt. Substantial warming follows later next week as conditions for harvesting further improve, but should be followed by widespread rain next weekend (within Sep. 20-22) as a storm system breaks warmth
· Sep Corn Up $.0175 at $3.3350; December Down $.0050 at $3.4050. Del’y: 0 C. The funds sell 10 K—larger crop
· Sep Soybeans Up $.0650 at $10.68; Nov Up $.0375 at $9.8525. Del’y: SBO, 54. The funds sell 8 K SB & SBM; 3 K SBO
· Sep Wheat NA; December Down $.0450 at $5.05. Del’y: 3 HRW; 40 SRW. The funds sold 3 K Thur-global stx rise
CORN/SORGHUM
· September 2014 corn futures traded $3.29 on Thurs.--the lowest price for a nearby corn contract since June 30, 2010
· ATI Research: The USDA increased the national U.S. corn yield by 4.33bpa in the SeptemberCrop Production report vs. August. The last 5 years that the September yield was higher than August, the average increase was 2.56bpa
· T-storm Weather: Isolated patches of killing frost occur Friday-Saturday, but a large-scale killing event is not expected
· USDA’s September WASDE forecast combined 14/15 Brazil/Argentina corn output at 3.858Bbu—down 6% from 13/14
SOYBEANS/WHEAT
· September 2014 soybean futures traded $10.45 Thurs.--lowest price for a nearby soybean contract since Oct. 4, 2010
· ATI Research: USDA increased the national U.S. soybean yield by 1.16bpa in the September Crop Production report vs. August. The last 5 years that the September yield was higher than August, the average increase was 0.96bpa
· USDA’s September WASDE forecast 14/15 FSU-12 wheat exports at 39.5 MMT, just below the record of 39.7 in 11/12
· ATI Research: U.S. all wheat export sales past 4 weeks were 54mbu—lowest total for that period in at least 27 years
ENERGY
· Futures are all higher: QCLV14, +$0.31 at $93.14; QRBV,+$0.0076; QNGV, +$.025; and QHOV, +$.0020
· The recent sharp decline in cash ethanol markets continued on Thursday: Chicago down another dime; Gulf slid 8; Dallas plunged 12 ½; Tampa lost 14; New York off 9 ½; and LA was 10 lower at $2.11 per gallon
· RINs were mostly steady: 2012’s up 1/8 at 45-48; 2013’s unch at 45-48 ½; and 2014’s were unch at 45-48 ¾
· The October RBOB/Ethanol spread widens 6 cents to $.7011/gallon on larger corn crop
LIVESTOCK/POULTRY   ;
· Choice boxed beef values firmed 8-cents yesterday and have gained 46-cents over the last two days
· Cash cattle remain quiet with feedyards asking around $167 while packers bid $160. Cattle traded LW at $160 to $163
· After easing 4-cents on Wednesday, the USDA mandatory pork carcass cutout value gained $1.84 yesterday
· CME Lean Hog Index up $1.18 to $100.20. October futures down $0.725 to $106.375, but are $6.175 above the index
Sources: Bloomberg, Dow Jones, AP, T-storm Weather