Dec Corn closed 1 cent lower ($3.97 ½), March 1 ½ cents lower ($4.01 ¾) & July 1 cent lower ($4.06 ¼)
Nov Chgo Ethanol closed unchanged ($1.520), Dec $0.010 cent higher ($1.390)
Weekly Corn Export Inspections – 721.6 K T. vs. 600 K – 1.100 M T. expected
USDA announces Corn Export Sales – 204.0 K T. sold to unknown
US Weekly Corn Crop Progress – Harvested – 82% vs. 83% expected vs. 69% 5-year average
Corn prices continue to be on the defensive as Monday’s trade was spent entirely in the minus column. Weekly export inspections were deemed uninspiring based on expectations. It should be noted that despite finishing lower on the day settlement prices were within fractions of the day’s highs. US weather is forecasted to be clear for the balance of the week which should enable the completion of harvest. Concerns still linger over SA weather as the southern areas of Brazil and a good portion of Argentina continue to show a dryer than normal bias. Many in the trade continue to show nervousness over the upcoming US elections as well as the spread of the virus.
Interior cash corn prices (basis) in the Midwest continue to be under pressure especially at river locations that feed down to the Gulf. Despite this Dec gains on March and May. Old crop continues to lose to the new crop which goes along with the general liquidation phase.
I’m still looking at $3.90-$3.89 as initial support for Dec corn. Failure at this level would suggest something down towards the mid-low $3.80’s. short term resistance for now is the $4.05 level. If Dec corn has indeed made a major top advances up towards the $4.15 level should run into problems.
Daily Support & Resistance – 11/03
Dec Corn: $3.90 – $4.05
March Corn: $3.94 – $4.09
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.