HIGHLIGHTS

·      TRENDS—Mostly weaker:  CH, -$.0125; SH, +$.0225; WH, -$.04 KWH, -$.0325 

·      What caught my eye: The trade is expecting another big week of corn sales, with the range from 24-51 million. It will be interesting to see if this morning’s numbers exceed the 48.6 million total from a week ago

·      China trims tariffs on $75 billion of U.S. goods.  Asia: Higher: Nikkei, +2.38%; Shanghai, +1.72%; Hang Seng, +2.64%; EUROPE: Higher—DAX, +0.61%; FTSE, +0.25%; CAC, +0.59%.  WALL STREET: Futures, Higher—DOW, +86; S&P, +7.75; NAS, +30.0  EXTERNALS: March crude, +$0.32 @ $51.07; Gold: +$8.20 @ $1,571; Mar $ Index, -.003 @ 98.155

• T-storm Weather®: scattered thunderstorms affect Argentina over the next few days as a cool front passes, but cloudiness limits daytime heat & strength of upcoming thunderstorms, resulting in a slightly drier forecast (though an extended period of favorable coolness is starting, & more thunderstorms return in 10 to 14 days).  In Brazil, the forecast is similar with heavy rain central & north into next week to be followed by less-frequent thunderstorms for planting & harvesting, while southern areas stay fairly dry
• CH, dn $.0.0125 @ $3.7950; CK, dn $.0075 @ $3.8575.  Demand worries contributed to 3 K in selling by the funds   
• SH, up $.0225 @ $8.8825; SK, up $.0225 @ $8.9575.  Funds: Even SB; sld 1 SBM & bot 5 K SBO.  Board crush: $0.97, +4; LY, $0.95,-
• WH, dn $.04 @ $5.58; WK, dn $.0350 @ $5.5550.  The funds were again buyers, 3 K yesterday                   

CORN/SORGHUM

·  &n​bsp;   Export Sales to be released at 7:30 am CST.  Trade expects 24-51 mbu for 19/20 corn

·      T-storm Weather®: in Argentina, the most likely result is for thunderstorms to end from south to north through Fri., but producing 0.75” to 1.50” in key corn areas of the central and south, and higher totals of 1.25” to 2.50” north

·      Consultant: in Brazil, planting of safrinha (double crop) corn in Mato Grosso (#1 safrinha producing state) is at 22% compared to 29.8% last year and the 19.3% average, according to the Mato Grosso Institute of Agricultural Economics

·      Ethanol grind: Total of 1,081,000 barrels/day for week end Jan. 31—up 52,000 v. prior week and up 11.8% v. 2019

SOYBEANS/WHEAT

·      Export Sales report.  Trade expects 15-29 for 19/20 soybeans; 200-500 for 19/20 soymeal; and 12-60 for 19/20 soyoil

·      Consultant: dryness concerns for soybeans in northeastern Brazil have been mostly resolved by recent rains.  The only area where dryness is a concern now is far southern Brazil, especially the state of Rio Grande do Sul

·      T-storm Weather®: in Argentina, the most likely result is for thunderstorms to end from south to north through Fri., but producing 0.75” to 1.50” in key soybean areas of the central and south, and higher totals of 1.25” to 2.50” north

·      Export Sales report.  Trade expects 7-26 mbu for 19/20 all wheat

·      T-storm Weather®: 2”-5” of snow & some icing rain falls today from/near central areas of IL, IN, MO, & OH.  Temps then fall & weak waves of energy pass, causing snow showers over the next 5-7 days—but not a notable storm

ENERGY

·      Firm: CLH20, +$0.31 @ $51.07; EBJ, +$0.02 @ $55.45; EBJ-QCLJ, -.35; RBH, +.0130; NGH, -.012; HOH, +.0086

·      Chicago ethanol retreated $.01375 to $1.3475; basis values versus Chicago were firm:  NYC, +$.00375 @ $.1025; Gulf, unch @ $.1225; Dallas, +$.00375 @ +$.0825; Tampa, +$.00875 @ +$.1775; LA, +$.02875 @ +$.20750

·      Ethanol RINs values, UP: 2018’s, +1.75 @ 16 ½ -18; 2019’s, +2.125 @ 17 ½ -19; 2020’s, +2.375 @ 23 ¼ -24 ¾                        &​nbsp;                                                 &​nbsp;                       &n​bsp;                     

·      The March RBOB/March ethanol spread moved out $.0441 to $.1343/gallon       

LIVESTOCK/POULTRY           &nb​sp;                &​nbsp;           

• Choice boxed beef eased 21-cents on Wednesday to $210.72 and is $2.80 lower versus a week ago
• April live cattle futures on Wed. closed at $119.175—the lowest settlement price for the contract since Oct. 8

·      USDA mandatory pork carcass cutout value declined $2.60 on Wed. to $64.15 & is $6.23 lower versus last week   

·      CME Lean Hog Index fell $0.13 on Wed. to $60.97.  February futures gained $0.350 but are $3.870 below the index      

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