HIGHLIGHTS
· MARKET TREND—Mixed: CN: Down $.0075; SN: Down $.0975; WN: Up $.0050; KWN: Up $.0175
· MACRO: Japan holds the line on market activity; Fed uncertain about rate hike timing. ASIA: Nikkie drops 3.05%; the Hang Seng slides 2.1%; Shanghai closes off .48. EUROPE: Weaker with the CAC off .5%; the FTSE is .57% lower and the DAX, down .72%. WALL STREET: Yellen’s lack of decisiveness weighs--pre-markets lower--DOW futures, -53; S&P, -7 ¼; NAS, -17. EXTERNALS: The $ Index is up .170 at 94.845; risk off, gold is $19 higher at $1,305.80 and July crude is $.64 lower @ $47.37/barrel
· T-storm Weather: Upper-level high pressure grows to an incredible level for June, producing a heat wave in the central / southern Plains and western Corn Belt through Sunday. Changes follow next week as the high shifts a bit westward, breaking heat for a few days and triggering some thunderstorm clusters. That said, small shifts in the high will have dramatic shifts in thunderstorm coverage and amounts, leading us to forecast 0.50" to 1.00" in the Corn Belt and / or points north within June 20-24. A warmer and drier pattern most likely follows as the systems exit, allowing the upper-level high to re-expand
· CN, Down $.0075 @ $4.2825; CZ, Down $.0025 @ $4.3925. Moderating temps, better rains in the forecast, funds sold 10 K
· SN, Down $.0975 @ $11.4625; SX, Down $.0925 @ $11.2925. Good rains—funds sold 8 K SB; sold 7 K SB; 1 K SBM and 6 K SBO
· WN, Up $.0050 @ $4.78; WU, Up $.0050 @ $4.90. The funds again sold 5 K, following corn lower
CORN/SORGHUM   ;   </wbr>
· December 2016 corn futures traded $4.48 ½ Wed.—highest since July 8, 2014—but settled $0.07 lower at $4.39 ½
· Export Sales to be released at 7:30 AM CDT. Trade expects 35-47 mbu for 15/16 corn
· T-storm Weather: Precip trend the past 14 days (including rain Tue. night/Wed. morning) shows dryness persists in Kansas, Nebraska, Missouri, southern Iowa, western Illinois, as well as parts of eastern Dakotas & western Minnesota
· Consultant: Argentina corn crop estimate is unchanged at 25.0 MMT. Harvest is approximately 33% complete
· Record ethanol grind: 1,013,000 barrels/day for week end June 10—up 0.7% vs. last week and up 3.4% vs. last year
SOYBEANS/WHEAT
· November 2016 soybean futures closed at $11.38 ½ Wed.; one year ago, November 2015 contract settled at $9.39 ¾
· Export Sales report. Trade expects 15-22 mbu for 15/16 soybeans; soymeal, 50-200 K MT; and soyoil,10-40 K MT
· Consultant: Argentina soybean crop estimate is unchanged at 56.0 MMT. Harvest is approximately 90% complete
· Export Sales report. Trade expects 9-17 mbu for 16/17 all wheat
· T-storm Weather: Intense heat within +/- 5 degrees of 100 affects the central/southern U.S. Plains through Sunday
· Argentina wheat planting proceeding with acreage pegged to increase 23-27% due to the elimination of export tax
ENERGY
· Lower: CLN16, -$0.64, $47.37; EBQ, -$0.72; EBQ-CLN, +$0.87,-$0.09; RBN, -$.0075; NGN, -0.027; HON, -$.0155
· EIA report: Implied demand for gasoline increased 2.0% last week; avg. demand the last 4 weeks up 2.9% v. a year ago
· A weaker trend was noted in cash ethanol markets on Wednesday: Chicago down 2 ¼; New York eased 3; Gulf slipped 4 ¾; Dallas off 3; Tampa declined 1 ½; and LA was 1 ½ lower at $1.82 per gallon
· Ethanol RINs firmer: 2014’s added 1 ¾ to 84 ¾-85 ¾; 2015’s up 1 ¾ at 84 ¾-85 ¾; and 2016’s climbed 1 ¾ to 84 ½-85 ½
· The July RBOB/July inverse paused at mid-week, losing $.0281 and settled at-.1856/gallon. Trading -$.1861 this am
 LIVESTOCK/POULTRY  
· Choice boxed beef values were $1.92 lower on Wednesday at $226.42, but are $1.32 higher vs. a week ago
· Scattered cash cattle sales occurred Wed. in the South at $123, which is $5 lower than last week’s weighted average
· USDA mandatory pork carcass cutout value was 65-cents lower on Wed. at $86.45, and is down $1.05 vs. last week
· CME Lean Hog Index firmed $0.52 Wed. to $81.62. July futures were $1.25 lower but are still $5.205 above the index
Sources: Bloomberg, Dow Jones, AP, T-storm Weather