HIGHLIGHTS
· Market Trend: Corn, Up 2; Soybeans, SN 5-6 higher; Wheat, 5-6 Higher
· The Iraq conflict has European markets and U.S. futures lower this morning. Asia was mixed as the Nikkei fell 1.1% while both the Hang Seng and Shanghai posted gains of .6 to .7%. The latter were aided by Premier Li Keqiang’s remarks the Chinese economy would grow by 7.5% this year. The FTSE, DAX and CAC-40 are all from .24% to .46% lower. The Dow and S&P futures are both .2% weaker as traders mark time ahead of the Fed’s Open Market Committee policy remarks at mid-week. Energy futures are higher; gold is $5.80 to the plus side ($1,279.60) and the $ Index is .026 lower at 80.725
· T-Storm Weather: Temps turn notably warmer over the next few days as heat expands from the desert southwest; maximums reach the mid-80s to mid-90s across a large area, aiding growth of newly-planted crops. Although heat occasionally continues from the southwest Plains through the Delta beyond midweek, an upper-level system disconnects from the jet stream and drifts across the northern Plains and Corn Belt June 18-23, quickly reverting temps to near-average levels. Rain affects central and/or northern areas of the Corn Belt and Plains each day through at least June 22. Widespread coverage of 1.25”-2.75” amounts occur
· July Corn Up $.0225 at $4.4925; September Up $.0175 at $4.4475. Fund buying again totaled 3 KFriday
· July Soybeans Up $.06 at $14.3175; August Up $.0625 at $13.7575. Fund activity included buying 5 K SB & 5 SBO; even SBM
· July Wheat Up $.0625 at $5.9225; September Up $.0575 at $6.0225. The funds were even in Friday’s trade
CORN/SORGHUM
· ATI Research: USDA Crop Progress likely to show U.S. corn crop Good/Excellent 74-76% vs. 75% last week, 64% last yr.
· Export Inspections released at 10 AM CDT; Corn, 44.1 needed; 45.2 last week. Milo—3.5 needed; 2.7 last week
· Commitment of Traders report: Non-Commercial long corn futures only positions decrease 2,645 contracts
· T-storm Weather: Pockets of excessive wetness possible as key corn states 1.00”–3.00” wetter than avg. so far in June
SOYBEANS/WHEAT
· ATI Research: Crop Progress likely to show U.S. soybean crop Good/Excellent 73-75% vs. 74% last week, 64% last year
· Export Inspections released at 10 AM CDT; Soybeans, 4.0 needed; 4.5 last week
· Commitment of Traders report: Non-Commercial long soybean futures only positions decrease 8,764 contracts
· ATI Research: Crop Progress likely to show U.S. spring wheat Good/Excellent 70-72% vs. 71% last week, 68% last year
· Commitment of Traders: Non-Commercial long CBT wheat futures only positions decrease 2,395 contracts
· T-storm Weather: Mainly dry weather across a large swath of Argentina/Brazil to aid wheat planting this week
ENERGY
· Futures are higher: QCLN14, +$.106 at $107.01; QRBN, +$0.0073; QNGN, +$.031; and QHON, +$.0006
· Mostly higher trend in cash ethanol markets on Friday: Chicago climbed 2; Gulf up 3 ½; Dallas gained 1 ½; New York added 2 ½; Tampa up 2; but LA was 1 ½ lower at $2.43 ½ per gallon
· Slighter weaker trend in RINs: 2012’s unch at 44-47; 2013’s down ¼ to 45-47; and 2014’s off 3 ½ to 44 ½-45 ¼
· The July RBOB/July ethanol spread gave up much of Thursday’s gaining, slipping 4.9 cents to $.9037/gallon
LIVESTOCK/POULTRY    
·   After falling $1.62 during the previous two days, Choice boxed beef values rebounded 98-cents Friday
· Cash cattle traded at mostly $148 last week, up $3 from the week before
· After gaining $2.80 on Thursday, the USDA mandatory pork carcass cutout value fell $2.09 Friday
· CME Lean Hog Index gained $1.06 to $114.75. July future up $1.075 to $127.00 and are $12.25 above the index
Sources: Bloomberg, Dow Jones, AP, T-storm Weather