HIGHLIGHTS
· Market Trend: Corn, Up 3-4; Soybeans, 2-3 Higher; Wheat, 6-6 ½ Higher
· Asia responded to the Fed’s remarks in mixed fashion: the Nikkei gained 1.62%; the Hang Seng eased .06% lower and Shanghai lost 1.55%. Europe followed the higher U.S. close with all 3 major markets up .80 to .85% this morning. Yesterday’s U.S. gains came despite a cut in expected 2014 growth to 2.1-2.3% as a result of a sluggish QI. Helping the market were assurances interest rates would remain low. The $ Index is down 1/3rd of a point to 80.300; energy futures are mostly higher; gold is up $.9.40/oz
· T-Storm Weather: Mildness continues over the next five days as a slow-moving upper-level system drifts through the Corn Belt. Multiple rounds of thunderstorms continue in central and northern areas through Friday-Saturday, but a steady southward shift in thunderstorms occurs as surface-level high pressure brings cooler and drier are to / adjacent the Corn Belt next week. That said, the setup appears somewhat favorable for a heavy thunderstorm cluster to form Monday as the cooler pattern begins – most likely from Nebraska east-southeast through the southern half of the Corn Belt and Delta
· July Corn Up $.0350 at $4.45; September Up $.03 at $4.3850. The funds bought an estimated 4 K mid-week
· July Soybeans Up $.0275 at $14.1175; August Up $.0125 at $13.5850. Funds: bought 5 K SB; 3 K SBM, 4 K SBO
· July Wheat Up $.0650 at $5.9350; September Up $.0575 at $6.02. Fund buying reported at 4 K
CORN/SORGHUM
· Export Sales to be released at 7:30 AM CDT. Trade expects 12 to 20mbu old-crop corn, 2-6 new-crop
· National Weather Service to release updated forecasts—including U.S. Seasonal Drought Outlook—at 7:30 CDT
· Record ethanol grind: 972 thou barrels per day for week end June 13—up 28 thou vs. last week and 11.1% vs. 2013
· ATI Research: Corn planted in Central Illinois on April 18 has accumulated approximately 900 Growing Degree Days. Assuming normal temperatures are seen, this crop would be pollinating on or around July 8
SOYBEANS/WHEAT
· Export Sales: Trade expects -4 to +4mbu old-crop soybeans, 13-20 new-crop ; soymeal, 0-100 K MT old, 0-150 new; soyoil, 0-25 old, 0-10 new
· ATI Research: U.S. soybean Good/Excellent crop condition total of 73% is well above the 10-year average of 64%
· T-storm Weather: Total of 89% of U.S. soybeans neither sharply drier nor sharply wetter than usual the last 30 days
· Export Sales: Trade expects 13-18mbu for 2014/15 all wheat
· T-storm Weather: Drying needed for SRW wheat harvest in U.S. Delta; below-normal rain is forecast through June 23
ENERGY
· Futures are mostly higher: QCLN14, +$.48 at $106.45; QRBN, +$0.0162; QNGN, -$.018; and QHON, +$.0048
· No sign of an end to the erosion in cash ethanol prices: Chicago and Tampa slid 7; Gulf lost 9; Dallas dipped 9 ½; New York declined 10 ½; and LA eased 6 to $2.31 per gallon
· Noticeable uptick in RINs: 2012’s up 2 ¾ at 48-50 ½; 2013’s edged 2 higher at 48-50 ½; and 2014’s +2 at 46-50
· The July RBOB/July ethanol spread widened jumped nearly 9 ¼ cents, rising to $1.0412/gallon on record etoh output
LIVESTOCK/POULTRY    
· Choice boxed beef values increased $2.74 yesterday and have gained $8.65 over the last four trading days
· The USDA pork carcass cutout value gained $1.68 yesterday and has increased $4.38 over the last three days
· CME Lean Hog Index gained $1.20 to $117.33. July future up $0.50 to $125.425 and are $8.095 above the index
· Broiler egg set last week was dn 0.1% from last year, but average set over the last four weeks is 0.7% above last year
Sources: Bloomberg, Dow Jones, AP, T-storm Weather