HIGHLIGHTS

• MARKET TREND—Mixed (6:00 am): CH, +$.0025; SF, +$.0525; WH, -$.0375; KWH, -$.0325.  
• MACRO:  WH says “very good call” with President Xi on Saturday, futures are higher; WSJ fades Trump’s comments.  Asia: Limited trading-Nikkei, closed; Shanghai, closed; Hang Seng, +1.34%.  EUROPE: Mixed—DAX, Closed; FTSE, -0.05%; CAC, +0.99%.  WALL STREET: Futures are higher:  DOW, +212; S&P, +20.75; NAS, +59.25. EXTERNALS: Feb crude: +$0.94 @ $46.27; Dec 19 Gold: +$2.80 @ $1,316; Mar $ Index, -.250 @ 95.715. Del’y: SBM, 264; SBO, 1,299; RR, 666; SB, 721

·       T-storm Weather: Scattered thunderstorms continue to affect northern Brazil in some fashion over much of the next one to two weeks, ultimately diminishing the coverage and intensity of 14-day dryness.  In southern Brazil, organized rains mostly hold off until Friday forward, but only near-normal totals are expected through Jan. 6.  In Argentina, several heavy thunderstorm clusters produce 2.00"-4.00" through Wed.-Thu.; some flooding in central areas is possible following heavy rain on Sunday

·       CH, up $.0025 @ $3.7575; CK, up $.0050 @ $3.8375.  The funds were again estimated to be buyers of 1 K on Friday                

• SF, up $.0525 @ $8.888; SH, up $.06 @ $9.0150.  Funds bought 5 SB, 4 SBM & 1 SBO. Board Crush: $1.01, +1; LY: $1.00 
• WH, dn $.0375 @ $5.0775; WK, dn $.0350 @ $5.1525.  The funds bought 1 K to close out the week                 

       CORN/SO​RGHUM

·       Export Inspections released at 10 am CST; Corn, 49.5 mbu needed; 39.2 last week.  Milo—2.4 needed; 1.3 last week

·       Consultant: Brazil corn estimate lowered 1.0 MMT to 94.0.  Full-season corn is pollinating so continued dryness would be detrimental for yield potential

·       T-storm Weather: Across full-season corn in southern Brazil, below-normal rainfall dominates until better rain chances develop Friday forward; temperatures average above normal until rains arrive

·       December 2019 corn futures on Friday closed at $3.97 ½; one year ago, December 2018 corn futures settled at $3.84

SOYBEANS/WHEAT

·       Export Inspections released at 10 am CST; Soybeans, 36.6 mbu needed; 23.9 last week

·       Consultant: Brazil soybean crop estimate lowered 2.0 MMT to 119.0.  Soybeans in southern production areas are setting and filling pods so continued dryness would be detrimental for yield potential

·       T-storm Weather: Across soybeans in southern Brazil, below-normal rainfall dominates until better rain chances develop Friday forward; temperatures average above  normal until rains arrive

·       Export Inspections released at 10 am CST; Wheat, 23.9 mbu needed; 20.0 last week

·       T-storm Weather: Argentina stays very wet this week, slowing/stopping remaining wheat harvest in Buenos Aires

ENERGY

·       Higher:  CLG19, +$0.94 @ $46.27; EBH, +$1.18 @ $54.37; EBH-QCLHG, +$0.25; RBG, +.0356; NGG, -.208; HOG, +.0411

·       Chicago ethanol gained $.00375 to $1.23125; basis values were firmer: New York, +$.00625 @ $.18375; Gulf, +$.00125 @ $.10375; Dallas, +$.00625 @ $.11875; Tampa, +$.00875 @ $.25875; and LA, +$.01625 @ $.25875    

·       RINs were weaker/unch: 2017’s, -$0.50 @ 17 ½- 18; 2018’s, unch @ 20 ½ -21; 2019’s, -0.50 @ 23 ½-24                            

​ ·       The Jan RBOB/Jan ethanol spread widened $.0142 on Friday to+$.0712/gal

 LIVESTOCK/POULTRY              ​                        ​

• Choice boxed beef declined 89-cents on Friday to $214.41, but is still 36-cents higher compared to last week
• February 2019 live cattle futures on Friday closed at $124.175, the highest settlement price for life of contract
• USDA mandatory pork carcass cutout firmed 10-cents on Friday to $68.94, but is still down 73-cents vs. a week ago
• CME Lean Hog Index eased $0.01 on Fri. to $53.11.  February futures gained $0.075 and are $7.54 above the index

Source: Bloomberg, Dow Jones, AP, DTN. T-storm Weather