Corn Posting Early Wednesday Losses
Corn futures are showing weakness early so far on Wednesday, with 2 to 3 cent losses. The corn market was lower on Tuesday with contracts falling another 4 to 6 cents across the nearbys. Preliminary open interest was up 11,001 contracts on Tuesday. There were another 16 deliveries issued against May futures overnight, all by an ADM customer. The nearby CmdtyView national average Cash Corn price was down 4 3/4 cents at $4.14 3/4.
Crop Progress data from Monday afternoon showed the US corn crop at 62% planted as of May 11, which is 6 percentage point ahead of the 5-year average pace. Of the major 18 states USDA reports on, IL (-6), KY (-9), MO (-3), NC (-6), and OH (-2) were all lagging their respective average pace. Emergence was tallied at 28%, running ahead of the 5-year average at 21%.
Following the USDA Brazilian production increase to 130 MMT on Monday, Dr Michael Cordonnier was less aggressive, but raised is projection by 1 MMT o 127. The market may be taking some premium off the table with a larger crop possibly eating into some fourth quarter US exports.
A South Korean importer purchased a total of 65,000 MT of corn in a tender overnight.
May 25 Corn closed at $4.36, down 4 1/4 cents, currently up ¾ cent
Nearby Cash was $4.14 3/4, down 4 3/4 cents,
Jul 25 Corn closed at $4.42 1/2, down 5 1/2 cents, currently down 2 1/4 cents
Dec 25 Corn closed at $4.41, down 4 1/2 cents, currently down 2 1/2 cents
New Crop Cash was $3.98 1/2, down 4 3/4 cents,
On the date of publication, Austin Schroeder did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.