HIGHLIGHTS

·       MARKET TREND—Listless: CN, unch; SN, up $.01; WN, down $.0025;  KWN, down $.0125

·       MACRO—Diplomatic unrest in the Gulf region: 4 Arab countries cut diplomatic ties with Qatar over the latter’s support for Islamist groups .  ASIA—Lower:  Nikkei, -.03%;Shanghai, -0.45%;  Hang Seng, -0.24%.   EUROPE—Lower:DAX, unch; FTSE, -0.35%; CAC, -0.58%. Wall Street-Futures are lower:  DOW, -7;  S&P, -1.50; NAS, -5.25.  EXTERNALS: Sep $ Index, +.030 @ 96.48; June Gold, +2.80 @ $1,280; Aug Crude, -$0.05 @ $47.82

·       T-storm Weather: Unseasonable coolness affects most of the Corn Belt & Delta this week as maximums hold in the 70s over Mon.-Fri., while areas to the west remain mild with maximums mostly in the 80s.  All areas turn sharply warmer for at least several days starting Sat.-Sun.  Isolated thunderstorms dot the southeast third of the Corn Belt today, while organized rain of 0.75”-1.50” focuses on Delta.  Widely scattered rain affects the Plains & western half of Corn Belt Tue.-Sat.; 0.25”-0.75” amounts

·       Corn: CN unch @ $3.7275; CZ unch @ $3.91.  Fund buying totaled 3 K on Friday       

·       SB: SN up $.01 @ $9.2225; SX up $.0175 @ $9.2725.   Funds: Bot 6 SB, 5 SBM, sold 2 SBO.  Board Crush: $.84, -2; LY; $1.34

·       Wheat: WN down $.0025 @ $4.2925; WU unch @ $4.4375.   Fund trading on Friday was said to have been net zero 

CORN/SORGHUM

·       USDA Crop Progress: U.S. corn Good/Excellent total is likely to be below the 5-year average for early June of 72%

·       ATI Research: Since 2009, the largest percentage increase in U.S. corn emergence over May 28-June 4 was 18% in 2016 while the smallest increase was 5% in 2012.  The five-year average increase for the period is 13%

·       T-storm Weather: The lack of rain has caused the overage of corn that is wet at the topsoil and subsoil levels to sharply diminish over the last 1-2 weeks

·       Export Inspections released at 10 AM CDT; Corn, 37.6 mbu needed; 47.0 last week.  Milo—2.9 needed; 4.8 last week

SOYBEANS/WHEAT

·       November 2017 soybean futures on Fri. closed at $9.25 ½--lowest Fri. settlement price for Nov. since March 24, 2016

·       Export Inspections released at 10 AM CDT; Soybeans, 13.1 mbu needed; 12.3 last week

·       T-storm Weather: Scattered rain affects western U.S. soybeans this week, but many locations receive little or no rain

·       ATI Research: Since 2009, the largest percentage increase in U.S. soybean plantings over May 28-June 4 was 16% in 2011 while the smallest increase was 4% in 2012.  The five-year average increase for the period is 11%

·       Dryness impacting wheat in Western Australia has intensified recently

·       T-storm Weather: Coverage of U.S. spring wheat that is wet at subsoil level is clearly the lowest in more than 5 years

ENERGY

·       Weaker: CLQ17, -$0.05 @ $47.82; EBQ, -$0.01 @ $49.94; EBQ-QCLQ, +.02; RBQ,-.0073; NGQ, +.03; HOQ, -.0030

·       A mostly firmer trend was noted in cash ethanol marketson Friday: Chicago up 1 3/8; New York added ½; Gulf increased 1 ½; Dallas climbed 3; Tampa gained 4 ½; but LA was 1 ½ lower at $1.73 ½ per gallon

·       Ethanol RINs were weaker on Friday: 2016’s and 2017’s eased ½ to 73-75 

·       The July RBOB/June ethanol spread narrowed further on Friday, in nearly $.05 to +$.02310/gallon, premium RBOB

  LIVESTOCK/POULTRY                ​;                     

<​p> ·       Choice boxed beef values eased 34-cents on Friday to $245.24 , and are 36-cents lower compared to last week

·       June live cattle futures on Friday closed at $130.825—the highest settlement price for the contract since May 4

·       USDA mandatory pork carcass cutout value was 28-cents higher on Friday at $90.76, and is up $1.04 vs. a week ago

·       CME Lean Hog Index was $0.55 higher on Fri. at $77.34.  June futures gained $0.30 and are $3.885 above the index

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