HIGHLIGHTS

·       TRENDS—Mostly weaker:  CN, -.0250; SN, +$.04; WN, -$.0075; KWN, -$.0075

·       What caught my eye: China’s SB crush hit an 11-week high of 1.91 MMT LW. Crush since the 1^st of October is approximately 1.3 MMT off the prior year pace, trailing the USDA forecast for a 1.5 MMT increase in the 19-20 total to 86.5

·       U.S. futures are higher, expect on-going day to day volatility.  Asia: Mostly firm-- Nikkei, +0.79%; Shanghai, -0.51%; Hang Seng, +0.05%; EUROPE: Mostly firm—DAX, +0.40%; FTSE, +0.17%; CAC, -0.25%.  WALL STREET: Futures, Higher--DOW, +292; S&P, +34.75; NAS, +105.75.   EXTERNALS: July crude, +$0.16 @ $32.12; Gold: +$9.00 @ $1,755; Sep $ Index, -0.018 @ 99.350

·       T-storm Weather®: rains continue today in Ohio, as well as some showers in IL, IN, and MI.  Dry weather continues to the west, but initially breaks Thursday in the central and southern Plains, then Friday in the eastern Dakotas and western Corn Belt.  Rain then affects a wider area within Sat.-Tue. (May 23-26) when a larger system and some weak waves pass, focusing rain on the Plains and western Corn Belt, and affecting wettest areas from IL-WI and points east with lighter totals

• CN, dn $.0250 @ $3.1875; CU, dn $.02 @ $3.2350.  Fund buying totaled 4 K on ideas of more Chinese corn buying              
• SN, up $.04 @ $8.4650; SQ, up $.0375 @ $8.49.  Funds: sold 2 SB; 2 SBM, sold 3 SBO.  Board crush: $0.82 (N/N), -1; LY, $1.25
• WN, dn $.0075 @ $4.98; WU, dn $.0050 @ $5.01.  The funds were said to have bought a single contract yesterday  

CORN/SORGHUM

·       T-storm Weather®: a large system moves across the central U.S. May 25-26, causing pockets of rain & thunderstorms to affect a wide area; 1.00”-2.00” in central & southern Plains, & 0.75”-1.50” in much of Corn Belt & northern Plains

·       U.S. Energy Information Administration (EIA) report scheduled to be released at 9:30 am CDT

·       Consultant: Brazil corn crop est. is unch this week at 96.0 MMT, with a neutral to lower bias going forward

·       T-storm Weather®: in Brazil, dry weather prevails through Thursday.  Scattered thunderstorms follow Fri.-Sat. south when a cool front produces 1.00” to 2.00” on second-crop corn in Mato Grosso do Sul and drought-stricken Paraná

SOYBEANS/WHEAT

·       T-storm Weather®: a large system moves across the central U.S. May 25-26, causing pockets of rain & thunderstorms to affect a wide area; 1.00”-2.00” in central & southern Plains, & 0.75”-1.50” in much of Corn Belt & northern Plains

·       Consultant: Brazil soybean crop est. is unch this week at 121.0 MMT; neutral to slightly lower bias going forward

·       ATI Research: bias on near-term U.S. wheat exports remains at 15-20 mbu per week

·       T-storm Weather®: Unseasonably dry and warm weather occurs across wheat over the next 10 days in France, Germany & the U.K., contrasts with unseasonably cool and showery weather in Ukraine and western Russia

ENERGY

·       Firm: CLN20, +$0.16 @ $32.12; EBN, +$0.49 @ $35.14; EBN-QCLN, +$0.33; RBM, +.0164; NGM, -.003; HOM, +.0229

·       EIA Report Estimates (API): crude oil, +1.2 (-4.8); Gasoline, -2.1 (-0.7); Distillates, +1.4 (+5.1).  Estimates for ethanol prod. avg. 0.671 mbpd (range: 0.621-0.762).  Avg. est. of ethanol stocks: 23.915 mb (range 23.000-24.540)

·       Chicago ethanol was steady at $1.1510/gallon; basis, firmer:  NYC, +$.01 @ +$.0690; Gulf, +$.010 @ $.0840; Dallas, +$.02 @ +$.1440; Tampa, +$.0150 @ +$.2440; LA, +$.0150 @ +$.2040

·       Ethanol RINs values, firmer: 2018’s, +.6250 @ 23 ½ -27; 2019’s, +$.50 @ 33 ½ -35; 2020’s: +.3750 @ 36 ½ -38 ¼                                 &nbs​p;                        &nbs​p;                        ​;                        ​                        &​nbsp;   

·       The June RBOB/June ethanol inverse increased $.0176 Tuesday, to $.131/gallon, premium ethanol     

LIVESTOCK/POULTRY               &n​bsp;                       

• Choice boxed beef was $5.48 lower on Tuesday at $409.47, and is down $65.92 versus last week
• Cash cattle trade was reported on Tuesday at $119 in Nebraska, and cattle sold for $115 in Iowa as well
• The mandatory pork carcass cutout value declined $9.93 on Tue. to $96.78, & is down $14.56 versus a week ago
• CME Lean Hog Index fell $0.56 on Tue. at $67.04.  June futures declined $1.000 and are $10.390 below the index

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