March Corn closed ½ cent higher ($3.78 ¾), July ¾ cent higher ($3.94 ½) & Dec ½ cent higher ($4.02 ½)
March Chgo Ethanol closed $0.012 cents a gallon higher ($1.341) & April $0.011 cents higher ($1.358)
Weekly Ethanol Grind for week ending February 8th – Production – 1.029 million bpd vs. 967 K bpd previous week – Stocks – 23.5 million bbls vs. 23.9 million bbls previous week
Weekly Corn Export Sales for week ending January 3rd – vs. 500-900 K T. expected
It was a slow day for corn trading; not even a 3 cent range. The positive spin on today’s trade is that the corn market held on to Tuesday’s rally. New news remains slight. The rumors from yesterday around possible China interest for US corn and US DDG’s are still with us but the word “rumor” has to be emphasized as I see little out there to substantiate it. Word from the powers on high as to the ongoing Chinese/US trade talks remains positive sounding. I don’t think they would tell you that talks are going horribly. The people that have the power to make decisions will meet Thursday and Friday. Supposedly nothing is for certain until the two presidents sit down together sometime in March.
The corn processor has the best basis out there and this holds true from east to west across the Corn Belt. Interior river locations appear to be stabilizing from recent weakness due to logistical problems. The Gulf eases ever so slightly. Corn spreads continue to be a non-event as they stay relatively wide.
So the flat price of corn has popped back up into its January sideways trading range. I’m not sure what to do with that. Daily momentum indicators have shifted back to a higher bias but given everything I know right now I’m not sure March corn is anything better than a $3.85 trade.
Daily Support & Resistance for 02/14
Mch Corn: $3.75 – $3.81 ½ July Corn: $3.90 ½ – $3.97
The risk of trading futures and options can be substantial. Each investor must consider whether this is a suitable investment. Past performance is not indicative of future results.