GRAINS MOSTLY LOWER OVERNIGHT... As of 6:30 a.m. CT, corn futures are 3 to 6 cents lower in all but the July contract which is fractionally higher, soybeans are 4 to 10 cents lower and wheat futures are 1 to 3 cents lower at all three exchanges. The U.S. dollar index is modestly firmer this morning.
HOUSE FARM BILL, SENATE IMMIGRATION MEASURE, FED EVENTS KEY FOCUS IN WASHINGTON... A major farm bill debate in the House, and immigration reform in the Senate highlight the congressional agenda this week. The House and Senate are not in session Friday. The House during the week plans to debate (beginning Tuesday) and vote (likely Thursday) on its version of a five-year farm policy bill (HR 1947). Members have been told to file proposed amendments by 1 p.m. CT today. The House Rules Committee is scheduled to meet today to discuss general debate of the bill, and June 18 on amendments. Votes on amendments will likely take place Wednesday and likely into Thursday. The Senate adopted its version (S 954) on a 66-27 vote. Meanwhile, conclusion of the Federal Open Market Committee (FOMC) meeting on Wednesday could temper speculation on what the U.S. central bank has in mind for its stimulus plans. Fed Chairman Bernanke’s post-meeting press conference will be especially important when it comes to the Fed thinking. Plus, the Fed will release updated economic projections.
UPDATE ON HOUSE RENEWABLE ENERGY WHITE PAPERS, HEARINGS... The House Energy and Commerce Committee is working on a final white paper looking at renewable identification numbers (RINs). Meanwhile, Energy and Power Subcommittee Chairman Ed Whitfield (R-Ky.) said the plan is to hold at least one hearing on the renewable fuels mandate this summer, but a decision has not been made to try to move a bill through the panel. Rep. Lee Terry (R-Neb.) told Politico, "Maybe we can work at more of a leadership level to make sure that if there is going to be some biofuel bill on the floor it just not be an emotional 'Let's kill ethanol because we hate it.'"
USDA: GMO WHEAT FIND AN ISOLATED INCIDENT... USDA announced Friday it has found no other unapproved wheat in its investigation since discovering GMO wheat in Oregon, saying the situation appears to be a "single isolated incident." USDA also said it has provided trading partners with an approved method for detecting GMO wheat. Despite USDA's comments on this being an isolated event and the approved test kit, Japan and South Korea continue to ban U.S. western white wheat.
NOPA CRUSH DATA OUT THIS MORNING... NOPA members are expected to report May soybean crush totaled 117.6 million bu., based on the average pre-report guess. That would be down from 120.1 million bu. in April and the smallest monthly crush figure since September 2011, if realized. Soyoil stocks are guessed at 2.522 billion pounds.
CASH CATTLE TRADED LOWER... Cash cattle traded around $120 in Texas and Kansas late Friday -- $2 below the previous week. It appears feedlots once again failed to clean up showlists, meaning there will be more cattle for sale this week. If that's the case, traders will anticipate lower cash cattle prices again this week.
CASH HOGS CALLED STEADY/FIRMER... Packers are expected to open the week offering steady to firmer cash hog bids across the Midwest as plants are in need of hogs and market-ready supplies are tight. But if cutting margins don't improve, there are questions about how long packers will continue to actively compete for cash hogs.
WEEKEND DEMAND NEWS... South Korea tendered for up to 140,000 MT of corn, up to 55,000 MT of feed wheat and 6,000 MT of feed barley -- all optional origin, including Black Sea origin corn for the first time and excluding U.S. wheat . Italy purchased 15,000 MT of Indian soymeal.