HIGHLIGHTS
· Market Trend: Corn, Up 5-6; Soybeans, Down 1 to Up 7; Wheat, Up 6
· Asia was mixed overnight; Europe is higher this morning. Shanghai gained .16% and the Nikkei, .31% while the Hang Seng, Kospi and Australia all closed lower. Quantitative easing is helping the DAX (+1.7%) and the CAC (+1.84%) but not the Euro as it plummets 1.23% to 1.0565 USD. The UK’s FTSE is up a more modest .23%. U.S. 401 K’s may see some improvement: Futures have the DOW up 56; the S&P, +8.25 and the NAS, +12.7. The $ Index is a ½ point shy of 100, up .85; energy futures are lower and gold, off $1.20
· There is a chance for showers in the north of Mato Grosso today-Thursday, while mainly dry conditions are forecast for the central and south. Temperatures are projected to average near to below normal. Soybean harvest in Mato Grosso is slightly over 50% complete. Only a few afternoon and evening showers are forecast in north and east Parana through Thursdaywhile mainly dry conditions prevail in Rio Grande do Sul. Temperatures average near to above normal south and near to below normal north. Dry weather is forecast for Argentina throughThursday with above to well above normal temperatures
· Mar Corn Up $.0550 at $3.8775; May Up $.0525 at $3.9325. Dely: 186. The funds were even yesterday
· Mar SB Down $.01 at $9.79; May Up $.07 at $9.9150. Dely: 10 SB, 17 SBO. Funds sold 5 K SB; 3 K SBM & 1 K SBO
· Mar Wheat Up $.0625 at $5.0275; May Up $.0425 at $4.9750. Dely: 0 HRW, 0 SRW. Funds bought 1 K on report day
· USDA WASDE report: U.S. corn ending stocks at 1.777 Bbu vs. avg. trade estimate of 1.831 Bbu and 1.827 in February.
· ATI Research: Corn ground for ethanol reduced 50 mbu. The reduction is perhaps a bit conservative after last week’s Grain Crushings and Co-Products Production report revealed a higher conversion rate than previously assumed.
· ATI Research: Sorghum exports were surprisingly unchanged at 300 mbu. Year-to-date sales have already topped that
· Ethanol margins: $0.30 per gallon vs. $0.33 last week but below $1.01 last year. EIA report at9:30 AM CST
SOYBEANS/WHEAT
· USDA WASDE report: U.S. soybean ending stocks at 385 mbu vs. avg. trade estimate of 377 mbu and 385 in February
· ATI Research: World ending stocks of soybeans in 14/15 forecast to increase 853 mbu (35%) from last year
· Private crop consultant: Nationwide soybean harvest in Brazil is 40% completed vs. 29% last week and 49% last year
· USDA WASDE report: U.S. all wheat ending stocks at 691 mbu vs. avg. trade estimate of 703 and 692 in February
· ATI Research: Increase of 500,000 MT in EU wheat export forecast underscores strong competition for U.S. SRW
ENERGY
· Futures are mostly lower: QCLJ15, +$0.07 at $48.35; QRBJ, -0.0152; QNGJ, -$.066 and QHOJ, -$.0058
· EIA estimates: crude, +4.8 (API: -0.4); Gasoline, -1.7 (+1.7); Distillates, -2.3 (+1.7)
· Cash ethanol market were mixed once again on Tuesday: Chicago up ½; Gulf added 1 ½; New York gained 1; Dallas down ½; Tampa eased ½; and LA was unchanged at $1.66 ½ per gallon
· Steady to higher RINs: 2013’s unchanged at 69-70; 2014’s up ¼ to 70 ½-71; and 2015’s added ½ to 69-70 ½
· The April RBOB/April Ethanol spread retreated 5+ cents to $.3513/gallon
LIVESTOCK/POULTRY    
· On Tuesday, choice boxed beef values were 20-cents higher but are down $1.82 compared to last week
· April live cattle futures closed at $154.75 on Tuesday, which is highest settlement price for the contract since Jan. 13
· The USDA mandatory pork carcass cutout value declined 50-cents on Tuesday and is 62-cents lower vs. a week ago
· CME Lean Hog Index was down $0.30 at $67.22. April futures down $0.10 at $65.975 and is $1.245 below the index
Sources: Bloomberg, Dow Jones, AP, DTN Ag Weather