Dec Corn closed 3 ¼ cents lower ($4.22 ½), March 3 ¼ cents lower ($4.27 ¼) & July 3 ¾ cents lower ($4.30)
Dec Chgo Ethanol closed $0.030 cents a gallon lower ($1.390), Jan $0.030 cents a gallon lower ($1.350)
Weekly Corn Export Sales – 1.088 M T. old crop vs. 600 K – 1.000 M T. expected – no new crop vs. none expected
Flat price corn takes a breather from its recent 3 day rally as it moves into a minor consolidation phase. Weekly export sales were good based on expectations but could not get anything going due to the bearish spillover from the wheat market.
Interior cash corn markets continue to rebound from last week’s sell off especially at the inland waterways. The Gulf also appears to be coming back from last week’s sell off. Corn spreads ran flat upfront while the nearby loses ground to July. Old crop/new crop spreads were in retreat along with the flat price.
Option expiration on Friday for the Dec corn contract. $4.10, $4.20 and $4.30 calls have the greatest open interest. With that said the Dec corn trade tomorrow could be a bit squirrelly. I’m getting the idea the corn trade may be moving into a minor period of consolidation unless we’re going to do a repeat of 1980 (rallied into Thanksgiving and them literally fell apart the following week).
Daily Support & Resistance – 11/20
March Corn: $4.22 – $4.32
July Corn: $4.25 – $4.35
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