HIGHLIGHTS

• TRENDS—Higher: CN, $.03; SN, +$.0050; WN, +$.0350; KWN, +$.0175 
• What caught my eye: Sort of stating the obvious but with 16.8 million acres of corn to plant in the Western Corn Belt and 18.6 east of the Mississippi River, how much can get planted with “near normal” rainfall forecast the next 10-14 days?
• Politics may encourage trade resolution ahead of 2020 election.  Asia: Lower--Nikkei, -0.29%; Shanghai, -0.31%; Hang Seng, -0.44%.  EUROPE: Higher—DAX, +0.58%; FTSE, +0.49%; CAC, +0.46%.  WALL STREET—Futures are higher--DOW, +69; S&P, +10.50; NAS, +28.50.  EXTERNALS: July crude: +$0.23 @ $59.04; Gold:  -$5.70 @ $1,281; $ Index: -.027 @ 98.117
• T-storm Weather: Organized rains focus on/near the southeast half of the Corn Belt through today.  A new pattern follows as a weaker jet stream triggers scattered showers & thunderstorms in varying areas at varying times, but with less coverage, frequency, & vigor than recently.  Near-normal rainfall & temperatures most likely result across a wide area over the first 10 to 14 days of June with the exact locations of lighter versus heavier rains to only be determined 1-3 days in advance of each rain event
• CN, up $.03 @ $4.2175; CU, up $.03 @ $4.31.  The funds were estimated net buyers, with volume totaling 20 K Wednesday             
• SN, up $.0050 @ $8.7250; SQ, down $.0050 @ $8.78.  Funds: Bot-- 15 SB, 10 SBM, 8 SBO.  Board Crush: $1.35, +3; LY, $1.52
• WN, up $.0350 @ $4.94; WU, up $.0325 @ $5.02.  The funds sold 6 K yesterday    

CORN/SORGHUM

• ATI Research: The 5-year average for U.S. corn planting progress increases approx. 6% from May 26-June 2 to 96%
• T-storm Weather: Scattered thunderstorms occur in varying areas June 1-8, but with less frequency & vigor than of late; less rain results, but larger point is near-normal rain of 0.50”-1.50” occurs in central/southern Plains & Corn Belt 

·       Consultant: Argentina corn production estimate is unch at 49.0 MMT with a neutral bias going forward; harvest is 36%

• Ethanol margins: ($0.04) per gallon—down vs. $0.02 last week and below $0.30 in 2018.  EIA report at 10:00 am CDT

SOYBEANS/WHEAT

• ATI Research: The 5-year avg. for U.S. soybean planting progress increases approx. 13% from May 26-June 2 to 79%
• T-storm Weather: Scattered thunderstorms occur in varying areas June 1-8, but with less frequency & vigor than of late; less rain results, but larger point is near-normal rain of 0.50”-1.50” occurs in central/southern Plains & Corn Belt 

·       ATI Research: The 5-year average for U.S. spring wheat planting increases approx. 2% from May 26-June 2 to 93%

• T-storm Weather: Mostly dry conditions or only light rain is expected for U.S. spring wheat into the weekend

ENERGY

·       Low​er: CLN19, +$0.23 @ $59.04; EBN, -$0.49 @ $68.96; EBN-QCLN, -.71; RBN, -.0166; NGN, -.022; HON, -.0026

·       EIA Report Estimates (API): crude oil, -1.0 (-5.3); Gasoline, -1.0 (+2.7); Distillates, +0.4 (-2.1).  Estimates for ethanol production avg. 1.050 mbpd (range: 1.040-1.065).  Avg. est. of ethanol stocks: 22.947 mb (range 22.285-23.264)

·       Chicago ethanol was $.0075 higher at $1.4750; basis values were all firmer: New York, +$.01 @ $.1250; Gulf, +$.01 @ $.09; Dallas, +$.0075 @ $.0650; Tampa, +$.0025 @ $.1750; LA, +$.0025 @ $.2350  

·       Ethanol RINs firmed slighlty:  2018’s, +.25 @ 9 ½ -10; 2019’s, +.25 @ 13 ¾ -14                                          ​;                        ​    

·       The June RBOB/June ethanol spread edged in $.0005 Wednesday to+$.4752/gal

LIVESTOCK/POULTRY                           &nbs​p;           

• ​ Choice boxed beef was 24-cents higher on Wednesday at $223.53 and is up $3.95 versus last week  
• Limited cash cattle trade developed on Wed. afternoon at $115 per cwt in Texas and Kansas—steady with last week

·       USDA mandatory pork carcass cutout value was $1.89 lower on Wed. at $83.06 and is down 41-cents vs. a week ago

·       CME Lean Hog Index fell $0.75 on Wed. to $82.56.  June futures increased $1.225 and are $2.64 above the index

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