HIGHLIGHTS
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MARKET TREND—Higher: CU, +$.03; SQ, +$.06; WU, +$.0550; KWU, +$.0625
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MACRO: Fed Chair Powell to address the Senate today, focus will be on frequency of future interest rate hikes. Asia—Mostly lower: Nikkei, +0.44%; Shanghai, -0.55%; Hang Seng, -1.25%. EUROPE: Firmer: DAX, +0.10%; FTSE, +0.06%; CAC, +0.06%. WALL STREET: Futures are mostly weaker: DOW, +5; S&P, -1.50; NAS,-7.75. EXTERNALS: Sep crude: -$0.12 @ $66.95; Aug Gold: +$3.10 @ $1,243; Dec $ Index, -.202 @ 93.660
· T-storm Weather: Cool fronts drop southward every few days over the next two weeks, causing temperatures to average near- and slightly below-normal with maximums mostly in the 70s-80s and minimums in the 50s-60s for most corn, soybeans, and spring wheat. Pockets of rain and thunderstorms also result in near- and above-normal rainfall, initially from a slow-moving upper-level system that passes over Tue.-Sat., which results in generalized totals of 0.75” to 1.50” across Nebraska & Corn Belt
· CU, up $.03 @ $3.4475; CZ, up $.0325 @ $3.5850. The funds were said to be net even in Monday’s trading
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SQ, up $.06 @ $8.3550; SU, up $.06 @ $8.4125. Funds: Bot 8 SB, 4 SBM; sold 1 SBO. Board Crush: $1.99, -$.07; LY: $.86
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WU, up $.0550 @ $4.94; WZ, up $.0475 @ $5.0875. Fund selling amounted to 2 K as the week opened
CORN/SORGHUM
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· U.S. corn crop is rated 72% Good/Excellent versus 75% last week and 64% last year. Warmer-than-normal temps continue to accelerate crop development: silking is pegged at 63% vs. 37% for both last year & the 5-year average
· ATI Research: Updated yield estimate for the 2018 U.S. corn crop is 176.6 bpa versus July USDA projection of 174.0. U.S. corn ending stocks for 18/19 now forecast at 1.679 bbu
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T-storm Weather: Near- to slightly above-normal rainfall of 1.25” to 2.75” is expected across a wide area of U.S. corn over the next two weeks as inevitable temp fluctuations trigger thunderstorms in varying areas at varying times
SOYBEANS/WHEAT
· U.S. soybean crop rated 69% Good/Excellent v. 71% last week & 61% last year. Blooming at 65% v. 49% last year & the 5-year avg. of 45%, while podding is at 26% v. 15% last year & the 5-year avg. of 11%
· ATI Research: Updated yield estimate for the 2018 U.S. soybean crop is 50.0 bpa versus July USDA projection of 48.5
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ATI Research: U.S. hard red spring crop estimate is down 2 mbu to 586 mbu. U.S. winter wheat harvest is pegged at 74%, equal to last year’s pace but above the 5-year average of 71%.
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T-storm Weather: Near -normal rainfall is forecast over the next two weeks across the vast majority of U.S. hard red spring wheat production areas
ENERGY
· Mixed: CLU18, -$0.12 @ $66.95; EBU, -$0.04@ $71.81; EBU-QCLU, +$0.08; RBU,-.0013; NGU, +.001; HOU, +.0007
· On Monday, cash ethanol markets were mixed: Chicago was quoted at $1.405, up $0.005; Basis to Chicago—New York, +$0.18; Gulf, +$0.12; Dallas, +$0.13; Tampa, +$0.255; and LA, +$0.375
· Ethanol RINs were mixed on Monday: 2017’s up 1/8 at 15 ¼-16; but 2018’s down ¼ to 23 ¾-24 ½
· The August RBOB/August ethanol spread lost $.1085 Monday as gasoline prices slid, closing at +$.5972/gallon
LIVESTOCK/POULTRY  
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Choice boxed beef values eased 38-cents on Monday to $203.76 and are down $3.16 vs. a week ago
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5-Area Weekly Weighted Average Steer price eased $2.13 v. last week to $110.50/cwt and is $9.01 lower v. last year
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USDA mandatory pork carcass cutout climbed 16-cents on Monday to $82.61 but is still $1.64 lower vs. last week
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Current nearby board hog crush value is $25.40/cwt vs. last week’s $27.17, last month’s $32.17 & last year’s $35.39
Sources: Bloomberg, Dow Jones, AP, DTN, T-storm Weather