HIGHLIGHTS
· MARKET TREND—Lower: CK, down $.0125; SK, down $.02; WK, down $.0425; KWK, down $.03
· MACRO—Euphoria pauses, markets await Fed Chairperson Yellen’s remarks; sage investors note we are approaching full employment. ASIA—lower: Nikkei, -0.49%; Shanghai, -0.34%; Hang Seng, -0.74%; EUROPE—Mostly lower: FTSE, -0.19%; DAX, -0.11%; CAC, +0.50%. Wall STREET-falt/lower: DOW, +0; S&P, -2.75; NAS, -6.75. EXTERNALS: $ Index, -0.164 @ 102.040; Gold, -$5.90 @ $1,227; and April Crude, +$0.17 @ $52.78. Del’y: C, 118; SB, 568; SBM, 253; SBO, 489; HRW, 3; SRW, 518
· T-storm Weather: Numerous cool fronts sweep into Brazil dissipate over the next two weeks, triggering thunderstorms in varying areas each day; 3.50" to 7.00" north contrasts with 2.50" to 4.50" south. Scattered thunderstorms affect Argentina through today as a cool front passes, but amounts mostly stay within 0.25" to 0.75". A dry and cool period follows for five to seven days, after which an uptick in thunderstorms unfolds within a warmer pattern
· Corn: CK down $.0125 @ $3.7825; CH down $.0125 @ $3.7150. The funds sold 6 K on Thursday
· SB: SK down $.025 @ $10.3525; SH: up $.01 @ $10.2775. Funds: sold 8 SB; 6 SBM, 6 SBO. Board Crush: 0.74, -1; LY: $.55
· Wheat: WK, down $.0425 @ $4.4850; WH, down $.0175 @ $4.3025. Fund selling was estimated at 3 K yesterday
CORN/SORGHUM
· December 2017 corn futures on Thursday closed at $3.98 ½; one year ago, December 2016 futures settled at $3.75 ½
· ATI Research: Export sales of U.S. corn for the week ending Feb. 23 were 27.3 mbu, down 7% vs. last week and 24% compared to the 4-week average. The total was also down 37% from last year’s 43.2 mbu
· Talk surfacing that USDA’s Argentina corn production est. of 36.5 MMT is too conservative; some saying 40.0 possible
· T-storm Weather: Later in March, a drier period is likely for second-crop corn in northern Brazil as dry season begins
· Corn exports from Ukraine in January totaled 2.31 MMT, up 38% from last year’s 1.68 according to UkrAgroConsult
SOYBEANS/WHEAT
· November 2017 soybean futures on Thu. closed at $10.21 ¾; one year ago, November 2016 futures settled at $8.78
· ATI Research: Export sales of U.S. soybeans for the week ending Feb. 23 were 15.7 mbu, up 27% vs. last week but down 23% compared to the 4-week average. The total was also 3% below last year’s 16.2 mbu
· T-storm Weather: Rains across northern Brazil over the next two weeks likely slow soybean harvesting
· ATI Research: Export sales of U.S. wheat for the week ending Feb. 23 were 13.0 mbu, down 22% vs. last week and 28% compared to the 4-week average. The total was 2% above last year’s 12.7 mbu
· T-storm Weather: Mild and dry weather affects U.S. HRW wheat in the Plains on many days through mid-month
ENERGY
· Mixed: CLJ17, +$0.17 @ $52.78; EBK, +$0.16; EBK-CLK, $1.97, -$0.04; RBJ, +$.0132;NGJ, -$0.001; HOJ, +$.0002
· Significant weakness was seen in cash ethanol markets on Thursday: Chicago off 5 1/8; New York down 5 ¾; Gulf fell a nickel; Tampa and Dallas eased 4; and LA was 3 lower at $1.65 per gallon
· Ethanol RINs declined on Thursday: 2015’s off 1 at 32-37; 2016’s down 2 at 32-38; and 2017’s fell 2 ¼ to 32 ½-38
· The April RBOB/Apr ethanol spread gained $.0013 to $0.13630/gallon, premium RBOB
LIVESTOCK/POULTRY ;
· Choice boxed beef values gained $1.67 on Thursday to $208.35, and are up $12.16 compared to a week ago
· Dressed steer weight for week end Feb. 18: 881 lbs., up 2 lbs v. last week, 884.75 for 4-week avg. & 886 last year
· USDA mandatory pork carcass cutout fell $1.13 on Thursday to $79.64, but is 9-cents higher vs. last week
· CME Lean Hog Index eased $0.76 on Thu. to $74.01. April futures were down $0.15 and are $5.735 below the index
Sources: Bloomberg, Dow Jones, AP, DTN, T-storm Weather