HIGHLIGHTS
· Market Trend: Corn, Up 1-2; Soybeans, Up 1-5; Wheat, 11+ Higher
· The market is absent major news this morning. Asia closed ½% to ¾% lower overnight—the Nikkei lost .48% and the Hang Seng, .71%. Europe is a little weaker in early trade: the FTSE is off .45%; France is down .80% and the DAX is 1.34% in the red. U.S. markets appear poised to open lower with the S&P, Dow and NAS futures all .40-.45% to the downside. Analysts appearing on CNBC this am see potential for up to a 60% decline should confidence in international central banks be lost and from ramifications from the U.S. Federal Reserve’s persistent low rate policy. Energies: mixed; $ Index, up .101; gold, +8.20
· T-Storm Weather: Numerous cool fronts slide across the central U.S. over the next 7-10 days, but fail to penetrate mugginess in the south, leaving an east-west boundary aligned from the central Plains through the Corn Belt. Waves of energy and full-blown storm systems ride the boundary, triggering multiple rounds of rain and thunderstorms through the period. Widespread coverage of heavy rainfall occurs through the period with 2.50” – 5.00” possible in the northwest half of the Corn Belt
· Sep Corn Up $.0175 at $3.5775; December Up $.0175 at $3.6675. Funds were even for the day at mid-week
· Sep Soybeans Up $.01 at $10.8675; Nov Up $.0375 at $10.2750. Funds: sold 3 K SB; bought 3 K SBM; sold 2 K SBO
· Sep Wheat Up $.1150 at $5.5875; December Up $.1150 at $5.7375. Fund activity was indicated at buying a net of 3 K Wednesday
CORN/SORGHUM
· Export Sales to be released at 7:30 AM CDT. Trade expects -4 to 4mbu old-crop corn, 18-30 new-crop
· T-storm Weather: Rain is forecast to hold until Friday-Saturday in the Delta, allowing corn harvest to continue through at least then
· ATI Research: Corn planted May 1 in Central, IL has 2261 Growing Degree Days, which is 104 below normal
· Ethanol grind: 913 thou barrels per day for week ending Aug. 22—down 24 thou vs. last week but up 11.3% vs. 2013
SOYBEANS/WHEAT
· Export Sales: -6 to 0mbu old-crop soy, 28-40 new; soymeal, 25-100 KMT old, 100-200 new; soyoil, 0-20 old, 10-20 new
· T-storm Weather: A majority of U.S. soybean production is wetter than usual at the topsoil level and additional rains in wet areas this week increase the intensity of wetness
· Some reports of sudden death syndrome impacting soybeans being heard across parts of the Midwest
· Export Sales: Trade expects 11-18mbu for all wheat
· T-storm Weather: Thunderstorms hold until Saturday night or Sunday for wheat in parts of the wet northern Plains
ENERGY
· Futures are mixed: QCLV14, -$0.13 at $93.75; QRBV,+$0.0002; QNGV, -$.005; and QHOV, +$.0053
· Mostly firmer trend noted in cash ethanol markets on Wednesday: Chicago up ¼; Gulf down 1; Tampa gained 3 ½; New York added 3 ¾; Dallas climbed 3; and LA was 1 ½ higher at $2.34 ½ per gallon
· RINs weakened slightly: 2012’s off 1/8 at 49-49 ¾; 2013’s down ¼ at 49 ¼-49 ¾; & 2014’s were ¼ lower at 49 ¼-49 ½
· A sharp drop in stocks tugged the September RBOB/Ethanol spread in nearly 5 cents, to $.5889/gal
LIVESTOCK/POULTRY    
· Choice boxed beef values fell $1.07 yesterday and have lost $15.00 over the last fourteen trading days
· After firming just 27-cents Tuesday, the USDA pork carcass cutout value fell $3.56 yesterday
· CME Lean Hog Index down $1.57 to $100.34. October future up $0.825 to $95.925, but are $4.415 below the index
· Broiler egg set last week was up 1.7% from last year and average set over the last four weeks is 1.8% above last year
Sources: Bloomberg, Dow Jones, AP, T-storm Weather