HIGHLIGHTS

• TRENDS—Lower:  CZ, -$.0350; SX, -$.0250; WZ, -$.03; KWZ, -$.03 

·      What caught my eye:  The grain trade has generally opposed LTA’s (Long-Term (Trade) Agreements) in the past. It will be interesting to see how Washington responds to Xi wanting to buy from the cheapest origin as conditions dictate

·      Doubts grow in regards to a trade deal.  ASIA: Mostly firm--Nikkei, +0.37%; Shanghai, -0.35%; Hang Seng, +0.90%.  EUROPE: Mostly lower—DAX, -0.59%; FTSE, -1.01%; CAC, -0.58%.  WALL STREET—Futures are lower-- DOW, -89; S&P, -10.50; NAS, -19.00.  EXTERNALS: Dec crude: -$0.07 @ $55.99; Gold: +$11.10 @ $1,508; $ Index: -.382 @ 97.264

• T-storm Weather®: A large and strong system produces heavy rainfall of 0.50” to 1.50” across the Delta and southeast half of the Corn Belt through today, including a narrow swath of heavy snowfall of 2” to 6” in / northern MO, eastern IA, northern IL, and WI.  Elsewhere, most will be dry through today, except for some light rain and snow today in parts of the central and southern Plains.  Temperatures will be much colder than normal over the next 10 to 14 days as Arctic cold fronts pass every few days
• CZ, dn $.0350 @ $3.8725; CH, dn $.0375 @ $3.9575.  Fund buying on Wednesday was estimated at 6 K                 
• SX, dn $.0250 @ $9.1350; SF, dn $.0250 @ $9.28.  Funds: sold 2 K SB; 1 K SBM & bot 1 K SBO.  Board Crush: $0.90, +1; LY, $1.43
• WZ, dn $.03 @ $5.0625; WH, dn $.03 @ $5.12.  The funds sold 2 K yesterday           

   CORN/SORGHUM

·      Export Sales to be released at 7:30 am CDT.  Trade expects 12-31 mbu for 19/20 corn (32.7 needed)

• T-storm Weather®: at least one week of dry weather occurs Fri. forward, except for light rain & snow within northern third of central U.S., thereby keeping parts of the Dakotas, MN, WI, & MI wetter than ideal for remaining corn harvest

·      ATI Research: Sluggish harvest pace of U.S. corn crop highlighted; e.g. U.S. corn harvested on average increases approximately 14% over Oct. 27-Nov. 3 to approximately 75%; however, corn harvested as of Oct. 27 was only at 41%

• Ethanol grind: Total of 1,004,000 barrels/day for week end Oct. 25—up 8 thou v. prior week but dn 5.2% v. last year

SOYBEANS/WHEAT

·      Export Sales report.  Trade expects 18-40 mbu for 19/20 soybeans (24.4 needed); 100-250 KMT for 19/20 soymeal (177.6 needed); and 0-24 KMT for 19/20 soyoil (11.8 needed)

·      Consultant: Argentina soybean production est. unch at 57.0 MMT.  Weather thus far this planting season has been sub-par with drier than normal conditions in southern & western areas, but it is too early to negatively impact yields

·      Export Sales report.  Trade expects 7-18 mbu for 19/20 all wheat (13.5 needed)

·      T-storm Weather®: In Argentina, drought continues from only 0.25” to 0.75” of rain through 10 days in key wheat growing areas of Buenos Aires, southern Córdoba, and La Pampa

ENERGY

·      Mixed: CLZ19, -$0.07 @ $54.99; EBZ, +$0.06 @ $60.67; EBZ-QCLZ, +.06; RBZ, +.0003; NGZ, +.028; ​;HOZ, -.0067

·      Chicago ethanol lower, off $.02925 to $1.51/gal; basis values were firm:  NYC, +$.01925 @ +$.1050; Gulf, +$.01675 @ +$.07; Dallas, +$.01425 @ +.0950; Tampa, +$.01925 @ +$.2050; LA, +$.01925 @ +$.2550

·       Ethanol RINs were steady/firm: 2018’s, unch @ 5 ½ -6 ½; 2019’s, +.1250 @ 14 ¾ -15 ¼ ; 2020’s, +.75 @ 24 -25  ½                                 &nbs​p;                        &nbs​p;                        ​;                 

​·      The November RBOB/November ethanol spread widened $.0128 to $.2535/gallon  

LIVESTOCK/POULTRY                                     ​   

·     &​nbsp;Choice boxed beef eased 50-cents on Wednesday to $230.05 but is still up $6.77 versus last week     

• Some cash cattle trade took place on Wed. in the South at $112.00, up $2.00 from last week's weighted average

·      USDA mandatory pork carcass cutout value declined $1.13 on Wed. to $74.59 but is still 18-cents higher v. a week ago

·      CME Lean Hog Index fell $0.38 on Wed. to $63.13.  December futures gained $1.450 and are $2.645 above the index              

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