HIGHLIGHTS
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MARKET TREND—Mixed: CU, +$.0075; SU, -$.0475; WU, -$.0225; KWU, -$.0175
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MACRO: Stocks are mixed: strong U.S. employment gains on Friday versus additional tariffs imposed by China on U.S. goods. Asia—Mostly weaker: Nikkei, -0.08%; Shanghai, -1.26%; Hang Seng, +0.52%. EUROPE: Firmer: DAX, +0.29%;FTSE, +0.02%; CAC, +0.15%. WALL STREET: Futures are slightly higher: DOW, +9;S&P, unch; NAS, +6.25. EXTERNALS: Sep crude: +$0.97 @ $69.46; Aug Gold: -$4.50@ $1,210; Dec $ Index, +.174 @ 94.720. DEL’Y: SBO, 956; SB, 132
· T-storm Weather: Two cool fronts move across the central U.S. through Fri.; end result is temps average near-normal for most corn, soybeans, & spring wheat the next 5 days. The first cool front triggers scattered thunderstorms across SE three-fourths of Corn Belt the next several days, producing generalized totals of 0.75”-1.50”. The front then dissipates across the Delta Thu.-Fri., producing similar amounts. Little to no rain occurs to the north & west the next five days, leaving most of the Dakotas & MN dry
· CU, up $.0075 @ $3.7050; CZ, up $.0050 @ $3.8475. Fund buying on Friday totaled 4 K
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SU, dn $.0475 @ $8.8675; SX, dn $.0475 @ $8.9750. Funds: Sold 1 SB, 1 SBM, bot 2 SBO. Board Crush: $1.50, -$.02, LY: $.90
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WU, dn $.0125 @ $5.55; WZ, dn $.01 @ $5.7875. Fund selling on Friday, 2 K
CORN/SORGHUM
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Consultant: USDA Crop Progress report to peg U.S. corn Good/Excellent 71-72% v. 72% last week and 60% last year
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ATI Research: Rapid development of 2018 U.S. corn crop is illustrated in dough stage. The 5-year avg. for U.S. corn dough increases approx. 17% from July 29-Aug. 5 to 37%; but corn dough for 2018 as of July 29 was already at 38%
· T-storm Weather: After average temps through Fri., a sharply warmer period follows across the Corn Belt Aug. 11-15, with highs to reach the 90s and lows to hold in the 70s across a wide area, or +3°F to +7°F from normal; warmest west
· Export Inspections released at 10 am CDT; Corn, 74.6 mbu needed; 65.3 last week. Milo—7.8 needed; 1.9 last week
SOYBEANS/WHEAT
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Consultant: USDA Crop Progress report to peg U.S. soybean Good/Excellent 69-70% v. 70% last week & 60% last year
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ATI Research: Rapid development of 2018 U.S. soybean crop is illustrated in setting pods. The 5-year avg. for U.S. soybeans setting pods rises ~17% from July 29-Aug. 5 to 58%; but setting pods for 2018 on July 29 was already at 60%
· Export Inspections released at 10 am CDT; Soybeans, 31.6 mbu needed; 27.2 last week
· Export Inspections released at 10 am CDT; Wheat, 19.6 mbu needed; 13.9 last week
· T-storm Weather: Some rain affects southern wheat areas of Australia over the next 7-10 days, but dry in New South Wales and Queensland going forward; wide temperature fluctuations result in near-normal readings
ENERGY
· Higher: CLU18, +$0.97 @ $69.46; EBV, +$0.71 @ $73.93; EBV-QCLV, -$0.19; RBU,+.0120; NGU, -.017; HOU, +.0246
· On Friday, cash ethanol markets were mixed: Chicago was quoted at $1.4475, down $0.00125; Basis to Chicago—New York, +$0.11; Gulf, +$0.1225; Dallas, +$0.0625; Tampa, +$0.1825; and LA, +$0.1975
· Ethanol RINs were mixed on Friday: 2017’s up ¼ at 15-15 ½; but 2018’s down ¾ to 20 ½-21
· The September RBOB/August ethanol spread gave up $.0026 on Friday, closing at o$.6355/gallon
LIVESTOCK/POULTRY  
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Choice boxed beef values gained 95-cents on Friday to $204.75 but are still 39-cents lower vs. a week ago
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Cash cattle trade increased on Friday with sales in the South marked at $114—up appox. $2 from the previous week
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USDA mandatory pork carcass cutout value fell $1.40 on Friday to $70.87, and is down $5.40 compared to last week
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CME Lean Hog Index was $1.34 lower on Fri. at $67.57. August futures eased $0.475, and are $9.07 below the index
Sources: Bloomberg, Dow Jones, AP, DTN, T-storm Weather