HIGHLIGHTS

• MARKET TREND—Mostly lower: CU, +$.0075; SU, -$.0325; WU, -$.0550; KWU, -$.0825
• MACRO:  Beijing says it will match the U.S. step-by-step, as trade worries escalate.  Asia—Mostly firmer: Nikkei, -0.20%; Shanghai, +1.85%; Hang Seng, +0.88%. EUROPE:  Lower:  DAX, -0.16%; FTSE, -0.74%; CAC, -0.47%.  WALL STREET: Futures are lower: DOW, -9.75; S&P, -0.50; NAS, -1.79.  EXTERNALS: Sep crude: -$0.05 @ $68.89; Aug Gold: +$2.00 @ $1,215; Dec $ Index, +.160 @ 94.635. DEL’Y: SBO, 486;SB, 668

·      T-storm Weather: An axis of surface-level high pressure keeps the southeast half to two-thirds of the central U.S. seasonable  over the next week, while an axis of upper-level high pressure produces heat in / near the spring wheat belt.  Dry weather affects the northwest half of the central U.S. over the next 5-7 days, while some rain occurs to the south and east.  A cooler period follows in / near the spring wheat belt when a cool front passes Aug. 14-15 (and seasonableness continues elsewhere)

·      CU, up $.0075 @ $3.72; CZ, up $.0075 @ $3.8575.  The funds sold bought 3 K at mid-week 

• SU, dn $.0325 @ $8.9650; SX, dn $.03 @ $9.0750.  Funds: Bot 3 SB, 5 SBM, sold 3 SBO.  Board Crush: $1.59, +$.08 ½, LY: $.88
• WU, dn $.0525 @ $5.6475; WZ, dn $.0675 @ $5.8450.  Fund buying reported at 5 Kon Wednesday                        

       &n​bsp; CORN/SORGHUM

·      Export Sales to be released at 7:30 am CDT.  Trade expects 12-24 mbu for 17/18 corn and 16-35 mbu for 18/19

• T-storm Weather: Proportion of U.S. corn that was drier than normal at the topsoil & subsoil levels diminished from areas of significant rain this week, only leaving 33% drier than normal over the last 14 days & 27% over last 30 days

·      Aug. 10 USDA WASDE: Avg. trade est. 17/18 Brazil corn, 82.5 MMT (83.5 in July); Argentina corn, 32.4 MMT (33.0 July)

·      Aug. 10 USDA WASDE: Avg. trade est. 18/19 world corn ending stocks, 151.6 MMT (152.0 in July)

·      Ethanol grind: Total of 1,100,000 barrels/day for week end Aug. 3—up 36 thou v. prior week and up 8.7% v. last year

SOYBEANS/WHEAT

·      Export Sales report.  Trade expects 4-15 mbu for 17/18 soybeans and 11-22 for 18/19; soymeal, 40-150 K MT for 17/18 and 0-100 for 18/19; soyoil, 8-24 K MT for 17/18 and 0-10 for 18/19 

• T-storm Weather: A cooler period shifts the main storm track further south next week, resulting in better rain chances – especially across the southeast half to two-thirds of the central U.S. where 0.50" to 1.00" is likely

·      Export Sales report.  Trade expects 7-18 mbu for 18/19 all wheat

·      T-storm Weather: Drought worsens over the next 7 to 10 days across wheat in Queensland and New South Wales Australia as heading begins

ENERGY

·      Mixed: CLU18, -$0.05 @ $68.89; EBV, +$0.18 @ $72.46; EBV-QCLV, +$0.18; RBU,-.0033; NGU, -.001; HOU, +.0056

·      On Wednesday, cash ethanol markets were lower: Chicago was quoted at $1.4025, down $0.01875; Basis to Chicago—New York, +$0.09; Gulf, +$0.095; Dallas, +$0.0475; Tampa, +$0.1825; and LA, +$0.2025

·      Ethanol RINs were mixed on Wednesday: 2017’s firmed ¼ to 16-17; but 2018’s eased ¾ to 19 ½-20 ½

·      The September RBOB/August ethanol spread lost $.0525 on Wednesday, down to$.63050/gallon

 LIVESTOCK/POULTRY                                   &​nbsp;   

• Choice boxed beef values firmed 24-cents on Wednesday to $205.73 and are $1.98 higher compared to last week
• September feeder cattle futures Wed. traded $147.20—lowest price since June 29—but closed up $1.025 at $149.75
• USDA mandatory pork carcass cutout value declined $1.53 on Wednesday to $69.79 and is $2.94 lower vs. a week ago
• CME Lean Hog Index fell $1.47 on Wed. to $63.17.  August futures were $1.00 lower, & are $8.37 below the index

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