HIGHLIGHTS

·         Market Trend—Corn, Up 1-2;  Soybeans, 3-5 Lower; Wheat, 1-2 Lower

·         Stocks futures are pointing to a positive opening at 6:00 am CDT with the Dow up 40; the S&P up 5 ½ and the Nasdaq showing a 10 ½ point increase. The expected appointment of Janet Yellen to head up the Fed has the $ Index up a ¼ point at 80.4; gold is $13 weaker and the energy complex has turned from firmer to mixed with the IMF cutting its 2014 global growth forecast due to slow-downs in China, India, Brazil as well as concerns over the U.S. budget/debt ceiling concerns.  Asian markets were mostly higher with Europe opening lower

·         T-storm Weather: Mild and dry weather dominate most of the central U.S. through Friday.  The exception is in western wheat areas of the northern Plains where significant rainfall occurs Thursday night and Friday.  The same system drags cooler air eastward and helps scattered t-storms form; coverage and amounts are unclear, but we continue to forecast scattered t-storms. Potentially more notably, a large and stronger system trails the front; a low to moderate chance for significant rainfall exists across the central/ southern Plains, Corn Belt, and Delta early next week.  A continuation of dry weather would be most ideal in Indiana and Minnesota where at least 93% of its corn production was wetter than usual over the last 7 days  

·         Dec Corn Up $.0150 at $4.4325; Mar Corn Up $.01 at $4.5550.     Funds sold an estimated 7 K on Tuesday

·         Nov Soybeans Down $.0375 at $12.85; Jan SB Down $.0550 at $12.8225.  Funds: sold 4 K SB, 5 K SBM, bought 4 K SBO

·         Dec Wheat Down $.0175 at $6.9175; Mar Wheat Down $.0175 at $7.0175.   Fund selling totaled 1,000 contracts yesterday

CORN/SORGHUM

·         USDA has announced that there will be no monthly crop report on Friday (Oct. 11) due to government shutdown.  It remains unclear if USDA will issue an October report later in the month, or if they’ll skip it entirely

·         Anecdotal reports suggest a majority of early U.S. corn yields are exceeding expectations

·         U.S. corn export inspections for the week ending Oct. 3 were 25.3mbu vs. 22.0 last week and 17.4 last year

·         T-storm Weather: Major soil moisture deficits exist across/near key corn producing province of Cordoba, Argentina

·         Corn output in France is forecast to climb 0.3% to 15.4mmt from 15.3mmt in 2012, FranceAgriMer wrote this week

SOYBEANS/WHEAT

·         Crop researcher AgRural pegs 13/14 Brazil soybean planting at 3% of estimated area, which is the same as last year but slightly behind the 5-year average of 4%.  A total of 29.4 myn hectares (72.6 myn acres) are forecast to be planted

·         Forecaster Celeres pegging 13/14 Brazil soybean crop at a record 86.2mmt, up 6% from the current year

·         U.S. soybean export inspections for the week ending Oct. 3 were 30.6mbu vs. 14.7 last week and 45.7 last year

·         A snowstorm that hit Ukraine and southern Russia over the weekend halted crop planting with winter wheat acreage possibly declining significantly from initial expectations

·         U.S. wheat export inspections for the week ending Oct. 3 were 29.8mbu vs. 33.1 last week and 13.8 last year

ENERGY

·         EIA stocks estimates:  crude, Up 1.4 mb (API: +2.8); gasoline, +0.6 (-2.8); Distillates, -1.2 (-1.1)

·         Energy markets are mixed:  QCLX13, -$0.08 to $103.40; QRBX, +0.0122; QNGX, -$.001 and QHOX, +$.0021

·         OPEC reports Sep oil output falls to a 2+ year low  on sharply lower production  from Libya

·         Cash ethanol markets were mixed on Tuesday: Chicago and Gulf were down a penny, respectively; NY was 3 higher; Dallas was unchanged; and Tampa was also unchanged at $2.17 ½ per gallon

·         RINs, mostly lower: 2012’s down ¼ at 37,50-40.50; 2013’s 1 lower to 39.75-41; and 2014’s unchanged at 40-42 ½

LIVESTOCK/POULTRY                                     ​                      <​/strong>

·         Reports of large cattle losses from an early season snowstorm in South Dakota and lower corn futures prompted strong gains in feeder cattle futures yesterday

·         Cash cattle markets are quiet with feedyards offering cattle at $128 while packers bid $123.  Cattle traded LW at $126

·         Despite the lack of USDA data, almost all 2014 hog futures set new contract highs yesterday

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