Dec Corn closed 1 ¾ cents lower ($4.16), March 2 cents lower ($4.16 ½) & July 2 cents lower ($4.17 ¼)
Nov Chgo Ethanol closed $0.017 cents a gallon lower ($1.550), Dec $0.017 cents lower ($1.493)
Interior cash corn markets continue to improve. One of the notable improvements today was Decatur. IL jumping their corn basis by 15 cents to 20 cents over. Looks like harvest has come and gone in that area and the local end-users came up short on what they wanted to acquire. The Gulf basis continues to firm as offers were up another 3 cents. Unfortunately this did not help the flat price all that much as the flat price registered a minor reversal; new highs for the move while closing lower. Basis improvements did allow the nearby spread to stay firm.
Just my opinion that the flat price is starting to act a bit tired. Makes one think just how long can the spec/managed sectors get before corrections ensue. I remain with the frame of mind that corrections down to $4.05-$4.00 (Dec) are not unreasonable given the length of the spec/managed longs.
Daily Support & Resistance – 10/28
Dec Corn: $4.10 – $4.20
March Corn: $4.11 – $4.21
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