May Corn expired unchanged ($3.20 ¼), July closed ¾ cent lower ($3.17 ½) & Dec ¾ cent lower ($3.31 ¾)
June Chgo Ethanol closed $0.014 cents per gallon lower ($1.104), July $0.043 cents lower ($1.065)
Weekly Corn Export Sales – 1.073 M T. old crop vs. 800 K – 1.500 M T. expected – 554.5 K T. new crop vs. 300-600 K T. expected
IEG Vantage (formerly Informa) suggests planted corn acreage is 94.160 million vs. USDA at 97.0 million
I’m going to call Thursday’s corn trade as further consolidation. Old crop corn had a 3 ¾ cent range while the new crop December had a 2 ¾ cent range. May corn expired without a flat price trade. Weekly export sales for old crop were just shy of being mid-range of expectations while new crop corn sales favored the high side of expectations. All told today’s trade lacked much of a feature as selling interest was modest at best and buying interest was minimal at best.
The interior Midwest cash corn market (basis) ran mixed on the day. Decatur, IL bumped their basis 6 cents higher, Savanna, IL was 7 cents lower and Linden, IN was 3 cents better. All other Midwest locations that I track ran unchanged. The gulf basis is holding onto its recent strength. Corn spreads ran fractionally mixed on the day.
July corn continues to be a 20 cent trading range affair; $3.10 on the downside and $3.30 on the upside. I’m with the frame of mind that Tuesday’s range, $3.14 ½ to $3.24, will act as pivot points for short term direction.
Daily Support & Resistance – 5/15
July Corn $3.14 – $3.23
Dec Corn $3.27 – $3.38
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.