HIGHLIGHTS

• MARKET TREND—Mostly Lower: CN, -$.0250; SN, +$.0075; WN, -$.0550; KWN, -$.0775
• MACRO:  U.S./China trade spat dominates the market—equity values are lower around the globe.  Asia—Lower: Nikkei, -0.75%; Shanghai, closed; Hang Seng, closed.  EUROPE: Lower: DAX, -1.19%; FTSE, -0.29%; CAC, -1.06%.  WALL STREET: Futures are again lower: DOW, -167; S&P, -15.25; NAS, -45.25.  EXTERNALS: July crude: -$0.306 @ $64.76; Aug Gold: +$5.20 @ $1,284; Dec $ Index, +.208 @ 94.195

·       T-storm Weather: Heat breaks a mid-week and the next 7-10 days should bring heavy rain amounts over most corn and soybean areas but misses crops in the Delta as well as the far Northern Plains; temperatures will average slightly above-normal.  Another period of above normal temperatures is expected the following 10 days to two weeks but this should be accompanied with at least some thunderstorms. 

·       CN, dn $.0250 @ $3.5875; CU, dn $.0250 @ $3.6825.  More fund liquidation Friday, approximately 10 K                 

• SN, up $.0075 @ $9.0625; SQ, up $.0050 @ $9.12.  Funds: sold 20 SB, 6 SBM; 8 SBO.  Board Crush: $1.65 , +$.06; LY: $.87
• WN, dn $.0550 @ $4.94; WU, dn $.06 @ $5.0750.  The funds sold 5 to close out the week              

 

       CORN/SORGHUM

• December 2018 corn futures on Friday posted a new contract low of $3.7775 and closed $0.0175 lower at $3.8275
• Consultant: USDA Crop Progress report is projected to peg U.S. corn Good/Excellent at 75-76% vs. 77% last week and 67% in 2017

·       ATI Research: Unshipped U.S. corn export sales of old-crop are a record for this time of year.  Projected June-August corn exports are 697 mbu compared to 518 mbu last year (+35%)

·       Export Inspections released at 10 am CDT; Corn, 51.0 mbu needed; 55.5 last week.  Milo—5.2 needed; 0.2 last week

SOYBEANS/WHEAT

• Consultant: USDA Crop Progress report is projected to peg U.S. soybean Good/Excellent at 72-73% v. 74% last week & 66% in 2017

·       Export Inspections released at 10 am CDT; Soybeans, 26.8 mbu needed; 23.7 last week

·       ATI Research: Unshipped U.S. soybean export sales of old-crop are a record for this time of year.  Projected June-August soybean exports are 297 mbu compared to 262 mbu last year (+13%)

·       Export Inspections released at 10 am CDT; Wheat, 18.4 mbu needed; 13.6 last week

·       ATI Research: Unshipped all wheat export sales of 155 mbu are at the lowest level for this time of year since 2009

ENERGY

·       Higher: CLN18, -$.30 @ $64.76; EBQ, +$.69 @ $74.13; EBQ-QCLQ, +$0.99; RBN, +.0113; NGN, +.005; HON, +.0166

·       On Friday, cash ethanol markets were steady to lower: Chicago was quoted at $1.4025, unchanged; Basis to Chicago—New York, +$0.1175; Gulf, +$0.0925; Dallas, +$0.1125; Tampa, +$0.2125; and LA, +$0.265 

·       Ethanol RINs were weaker on Friday: 2017’s eased 1 1/8 to 15 ½-17 ½; and 2018’s declined 1 ¼ to 24-25

·       The July RBOB/July ethanol spread lost $.0716, falling to +$.6062/gallon

  LIVESTOCK/POULTRY            &​nbsp;                        <​/wbr>

• Choice boxed beef values were 49-cents lower on Friday at $221.59 and are down $4.62 compared to a week ago
• Since May 17, choice boxed beef values have declined $11.09 (4.8%) & are at their lowest level since April 26
• USDA mandatory pork carcass cutout value soared $2.02 on Fri. to $83.08 and is up $4.56 vs. last week 
• CME Lean Hog Index was $1.35 higher on Fri. at $81.44.  July futures fell $0.35 but are still $0.285 above the index

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