HIGHLIGHTS

• TRENDS—Weaker: CN, -$.0275; SN, -$.03; WN, -$.0250; KWN, -$.0450     
• What caught my eye:  There is just an enormous amount of foreign corn moving into the export channels . . . Arg line-up at 98 mbu more than 2 X LY; Black Sea shipping 28 mbu/week versus 9-10 LY at this time; Brazil has shipped 16 mbu in June, vs only 4 LY
• Mnuchen says China trade agreement is 90% completed!  Asia: Mostly lower--Nikkei, -0.51%; Shanghai, -0.19%; Hang Seng, +0.13%.  EUROPE: Higher—DAX, +0.60%; FTSE, +0.13%; CAC, +0.23%.  WALL STREET—Futures are higher--DOW, +120 S&P, +14.75; NAS, +61.50.  EXTERNALS: Aug crude:$.97 @ $58.80; Gold:  -$8.70 @ $1,410; $ Index: +.089 @ 96.229
• T-storm Weather: A sharply warmer period begins today for the central U.S. as upper-level high pressure forms in the central Plains and sends highs to the mid-80s to mid-90s and holds lows in the 60s-70s for 5-7 days.  Widely-scattered thunderstorms affect the northern Plains and Corn Belt through Friday as several small-scale waves of energy pass, and especially Wed.-Thu. in/near IA and IL.  Some thunderstorm clusters then continue in at least northern areas of the Corn Belt and Plains over Sat.-Tue.
• CN, dn $.0275 @ $4.4475; CU, dn $.03 @ $4.50.  The funds bought 2 K yesterday                     
• SN, dn $.03 @ $9.0050; SQ, dn $.03 @ $9.0575.  Funds: sold 3 K SB, 3 K SBM M; 5 K SBO.  Board Crush: $0.99, -3; LY, $1.85
• WN, dn $.0250 @ $5.3325; WU, dn $.0275 @ $5.3725.  Fund buying selling was estimated at 3 K yesterday           

    CORN/SORGHUM

• ​ T-storm Weather: A system slides across Canada and sends a cool front southward July 1-2 to drop temps across the central U.S. by 4°F to 8°F for several days.  Scattered thunderstorms are forecast next week across a wide area
• ATI Research: Near-term U.S. corn export estimate remains 25-35 mbu per week

·      Consultant: Argentina corn production est. was unch this week at 49.0 MMT with a neutral bias; harvest at 44.2%

• Ethanol margins: $0.02 per gallon—up vs. ($0.01) last week but well below $0.30 in 2018.  EIA report at 9:30 am CDT

SOYBEANS/WHEAT

• T-storm Weather: A system slides across Canada and sends a cool front southward Jul. 1-2 to drop temps across the central U.S. by 4°F to 8°F for several days.  Scattered thunderstorms are forecast next week across a wide area
• ATI Research: Bias on near-term U.S. soybean exports remains in the 20-30 mbu per week range
• T-storm Weather: Organized thunderstorms over June 26-July 2 are most likely across U.S. hard red spring wheat belt
• ATI Research: Bias on near-term U.S. wheat exports remains in the 15-20 mbu per week range

ENERGY

·      Higher: CLQ19, +$.97 @ $58.80; EBQ, +$0.83 @ $65.88; EBQ-QCLQ, -.16; RBQ, +.0513; NGQ, -.011; HOQ, +.0222

·      EIA Report Estimates (API): crude oil, -2.6 (-7.5); Gasoline, -0.2 (-3.2); Distillates, +0.3 (+0.155).  Estimates for ethanol production avg. 1.067 mbpd (range: 1.052-1.083).  Avg. est. of ethanol stocks: 21.739 mb (range 21.561-21.963)

·      Chicago ethanol was $.02750 higher Tuesday at $1.59075; basis values mixed: New York, -$.00775 @ $.11925; Gulf, -$.0025 @ $.10175; Dallas, +$.00225 @ $.10925; Tampa, -$.00275 @ $.21925; LA, +$.00725 @ $.21925  

·      Ethanol RINs were firmer:  2018’s, +0.50 @ 21 ¼ -21 ¾; 2019’s, +0.75 @ 24 ½ -25                                               &nb​sp;                       &nbs​p;     

·      The July RBOB/July ethanol spread widened $.0173 yesterday to $.2972/gal 

LIVESTOCK/POULTRY                         &nbs​p;              

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Choice boxed beef was 10-cents lower on Tuesday at $219.64 and is 89-cents lower compared to a week ago  

USDA Quarterly Hogs and Pigs report on June 27: avg. trade est. for all hogs and pigs, 103% (range: 101.9%-106.0%)

·      USDA mandatory pork carcass cutout value fell $1.79 on Tue. to $74.12 and is down $5.82 versus last week

·      CME Lean Hog Index was $0.34 lower on Tue. at $78.31.  July futures firmed $1.55 but are still $3.91 below the index              

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