Corn Commentary

storck

Corn – Just My Opinion

Dec Corn expired 5 cents lower ($4.19 ¼), March closed ½ cent higher ($4.24) & July ¼ cent higher ($4.28 ½)

Jan Chgo Ethanol closed $0.010 cents a gallon lower ($1.310), Feb $0.010 cents lower ($1.310)

Weekly Corn Export Inspections – 886.9 K T. vs. 725 K – 1.000 M T. expected

Direction was hard to sustain for the corn market as it was higher Sunday night, lower early Monday morning finishing fractionally mixed (old crop fractionally higher, new crop fractionally lower). I could not find much new news around. Weekly export inspections were in the range of expectations. The weather in SA gets a two-sided conversation – not enough rain vs. just enough rain.

Interior Midwestern cash markets remain quiet as new cash corn sales are slight. The Gulf doesn’t do much as that suggests there is enough cash corn in the pipeline to handle current demands. Spreads ran fractionally mixed within the old crop while old crop gains slightly on the new crop.

The short term technical look is sideways as March corn has closed within a 6 cents range dating back to Dec 1st. Daily momentum indicators have gone flat. $4.14-$4.15 is support for now while $4.30 appears as resistance followed by $4.36. If I had to guess holiday trading has taken over the market meaning we go nowhere fast.

Daily Support & Resistance – 12/15

March Corn: $4.18 – $4.30

July Corn: $4.22 – $4.35 

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.