July Corn closed 41 ¼ cents lower ($6.56), Sept 40 cents lower ($5.52) & Dec 40 cents lower ($5.39 ¾)
Weekly Corn Export Inspections – 1.235 M T. vs. 1.000-1.500 M T. expected
Despite it being a warm and dry 3-day holiday weekend for most of the Midwest flat price corn moved to limit down within minutes of the opening and stayed there for the balance of the day. Overnight some rain showed up in the Dakotas and during the day moved into Minnesota. Iowa is supposed to see some rain tomorrow and then again later this week. Illinois east will see rain later this week and again next week. Not much is being forecasted for the Dakotas/Minnesota going forward.
Trade ideas are suggesting the national corn rating is unchanged from last week; 64% GE. The USDA reports the national corn rating is now 64% GE (unch). The USDA goes on to say 10% of the nation’s corn crop is silking vs. 9% last year vs. 14% 5-year average.
Going forward it will be all about how the forecasted rains materialize. It is my thought as of this writing that the $5.20 level hold Dec corn prior to next week’s supply-demand update on the 12th. If I’m wrong we’ll move closer to the $5.10-$5.00 level. This latter level should hold us until we get closer to the August production report.
Daily Support & Resistance – 07/07
Sept Corn: $5.40 ($5.30) – $5.70
Dec Corn: $5.30 ($5.20) – $5.60
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.