HIGHLIGHTS

• MARKET TREND—Lower: CN, -$.0250; SN, -$.1550; WN, -$.0625; KWN, -$.0675
• MACRO:  Reuters: 2^nd list of tariffs on Chinese goods nearly completed by White House; econ-types revising down global growth as a result.  Asia—Mostly lower:Nikkei, +0.50%; Shanghai, -0.70%; Hang Seng, -0.43%.  EUROPE: Mostly lower: DAX,-0.08%; FTSE, -0.71%; CAC, +0.32%.  WALL STREET: Futures are decidedly weaker:DOW, -149; S&P, -12.25; NAS, -15.50.  EXTERNALS: July crude: -$0.26 @ $66.63; Aug Gold: -$7.10 @ $1,301; Dec $ Index, +.009 @ 93.075

·       T-storm Weather: Scattered thunderstorms affect part of IL, IA, MN, ND, and WI over the next 12 hours as heat expands to the east.  Attention then turns to the remnant circulation of Hurricane Bud as it brings significant rainfall to SD and nearby areas of NE, ND, and MN within Sat.-Mon.  Heat breaks after Bud passes, turning temperatures seasonable as next week progresses, and most likely triggering scattered thunderstorms

·       CN, dn $.0250 @ $3.6050; CU, dn $.0250 @ $3.7025.  Heavy fund liquidation on Thursday, estimated at 40 K                 

• SN, dn $.1550 @ $9.1175; SQ, dn $.1550 @ $9.1775.  Funds: sold 8 SB, 6 SBM; 0 SBO.  Board Crush: $1.59 , -$.01; LY: $.87
• WN, dn $.0625 @ $4.9525; WU, dn $.0575 @ $5.1150.  And, they (the funds) sold another 10 K yesterday                         

 

  CORN/SORGHUM

·​       December 2018 corn futures on Thu. closed at $3.84 ½--the lowest settlement price for the contract since Jan. 16

• T-storm Weather: In the U.S., it is most probable to be warmer than normal June 21-28 as upper-level high pressure forms within the south.  Some thunderstorms occur for corn with highest chances north and lowest chances south
• ATI Research: U.S. 17/18 corn export sales of 36.9 mbu for week end June 7 were up 12% v. last week & 2% v. the 4-week avg.  Unshipped export sales for 17/18 of 623 mbu are up 50% v. last year and a record for this time of year

·       USDA this week completes surveying producers in preparation for its Acreage report—scheduled for release June 29

SOYBEANS/WHEAT

·       ATI Research: U.S. 17/18 soybean export sales of 19.1 mbu for week end June 7 were more than triple both last week & the 4-week avg.  Unshipped export sales of 329 mbu are up 28% v. last year & a record for this time of year

·       T-storm Weather: Scattered thunderstorms affect the southeast two-thirds of soybeans across the central U.S. Mon.-Wed. (June 18-20), and produce 0.50” to 1.00” as a cool front passes

• ATI Research: Unshipped all wheat export sales as of June 7 were just 155 mbu—down 33% v. last year & a 9-year low
• T-storm Weather: Cool temperatures are forecast across Australia wheat production areas over the next 7 to 10 days.  Pockets of light rain occur, but drier than normal

ENERGY

·       Weaker: CLN18, -$.26 @ $66.63; EBQ, -$.93 @ $75.01; EBQ-QCLQ, -$0.67; RBN,-.0232; NGN, +.022; HON, -.0291

·       On Thursday, cash ethanol markets were weaker: Chicago was quoted at $1.4025, down $0.01875; Basis to Chicago—New York, +$0.125; Gulf, +$0.0925; Dallas, +$0.1225; Tampa, +$0.2225; and LA, +$0.2675 

·       Ethanol RINs were slightly higher on Thursday: 2017’s gained 1/8 to 17-18 ¼; and 2018’s added 1 ¼ to 25-26 ½

·       The July RBOB/July ethanol spread moved in $.0102 yesterday, to +$.6780/gallon

  LIVESTOCK/POULTRY               &nbs​p;                     

• Choice boxed beef values declined $1.82 on Thursday to $222.08 and are $4.33 lower vs. last week 
• Dressed steer weight for week end June 2: 851 lbs, up 3 lbs v. last week, 847.75 for 4-week avg. & 847 last year
• USDA mandatory pork carcass cutout value increased 24-cents on Thu. to $81.06 and is $2.74 higher vs. a week ago
• CME Lean Hog Index firmed $1.38 on Thu. to $80.09.  July futures were $1.16 lower but are $1.535 above the index

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