HIGHLIGHTS
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MARKET TREND—grains/oilseeds mostly higher: CH, +$.01; SH, +$.0675; WH, -$.0075; KWH, -$.0025
· MACRO. Dow surpassed 25,000; momentum expands globally. Non farm payrolls out this am with December expected to have added 180 K. ASIA—Higher: Nikkei,+0.89%; Shanghai, +0.20%; Hang Seng, +0.74%. EUROPE: Higher: DAX,+1.09%; FTSE,+0.33%; CAC, +0.87%. WALL STREET—More of the same—DOW futures, +75; S&P, +7.50; NAS, +22.75. EXTERNALS: $ Index: +.179 @ 91.76; Feb Gold: -$4.00 @ $1,318; Feb crude: -$0.58 @ $61.43. Deliveries: SBM, 298; SBO, 0 SB, 21; RR, 10; ETOH, 59
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T-storm Weather: In Argentina, scattered thunderstorms across Buenos Aires quickly diminish as they shift northward today. Much more rain will be needed because of the development of extensive dryness in recent weeks & months, but approximately one week of drying follows with heat beginning Monday. In Brazil, heavy rain will affect central and northern areas over the next five days, producing 1.75” to 3.50” through Sunday-Monday. A drier period immediately follows and lasts five to seven days
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CH, up $.01 @ $3.52; CK, up $.01 @ $3.6025. The funds sold 5 K yesterday
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SH, up $.0675 @ $9.7450; SK, up $.0625 @ $9.8525. Funds: Sold 2 K SB, 1 K SBM, even SBO. Board Crush: $1.10, +5; LY, $.75
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WH, down $.0075 @ $4.3325; WK, down $.0075 @ $4.4575. Fund activity on Thursday was estimated to be even
CORN/SORGHUM
· Export Sales to be released at 7:30 am CST. Trade expects 24-35 mbu for 17/18 corn
· Consultant: Brazil’s 2017/18 safrinha (double crop) corn production is expected to be smaller than last year as farmers are not very enthusiastic about safrinha due to low domestic corn prices and potential delayed planting
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T-storm Weather: In Argentina, changes in the dry weather pattern begin Jan. 11-12 and more so next weekend when two systems pass and trigger thunderstorms. Rain amounts of 0.50” to 1.50” are probably within Jan. 11-16
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Ethanol grind: Total of 1,032,000 barrels/day for week end Dec. 29—down 5.3% vs. prior week and 1.1% v. 2016
SOYBEANS/WHEAT
· Export Sales report. Trade expects 22-33 for 17/18 soybeans; 100-350 for 17/18 soymeal; and 5-40 for 17/18 soyoil
· Consultant: The majority of soybeans in Brazil are flowering and setting pods & are rated generally in good condition
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T-storm Weather: Dryness for Brazil’s soybean crop is unlikely to become significant because of widespread rain in the north over the next five days, and that southern areas are wet with rain to return in ~10 days
· Export Sales report. Trade expects 8-18 mbu for 17/18 all wheat
· T-storm Weather: Rain & snow develop from Sunday forward mainly in the U.S. Delta and southeast half of the Corn Belt. Some rain or snow cannot be ruled out in the drought-stricken Plains, but the potential for a major event is low
ENERGY
· Weaker: CLG18, -$.58 @ $61.43; EBH, -$0.60 @ $67.47; EBH-QCLH, -$0.07; RBG,-.0177; NGG, -.057; HOG, -.0195
· On Thursday, cash ethanol markets were mostly lower: Chicago was quoted at $1.26875, down $0.02125; Basis to Chicago—New York, +15 ½; Gulf, +10 ½; Dallas, +12 ½; Tampa, +27 ½; and LA, +31 ½
· On Thursday, ethanol RINs eased: 2016’s down 2 ¼ to 65-68; 2017’s off 2 ¼ to 66-69; and 2018’s fell 2 ¼ to 66-69
· The Feb RBOB/Jan ethanol spread added another $.0127, widening to+$.48470/gallon
LIVESTOCK/POULTRY  
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Choice boxed beef values increased 5-cents on Thursday to $208.67, and are $6.39 higher compared to last week
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Dressed steer weight for week end Dec. 23: 903 lbs, up 1 lb v. last week, 903.25 for 4-week avg. and 897 last year
· USDA mandatory pork carcass cutout value eased 31-cents on Thu. to $77.30, but is still up 25-cents vs. a week ago
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CME Lean Hog Index gained $0.88 on Thu. to $63.63. February futures firmed $0.325, & are $7.745 above the index
Sources: Bloomberg, Dow Jones, AP, DTN, T-storm Weather