December Corn closed 3 ¾ cents higher ($5.29 ¼), March 4 cents higher ($5.37) & May 3 ¾ cents higher ($5.41 ¼)
Weekly Corn Export Sales – 373.0 K T. old crop vs. 300-800 K T. expected – no new crop vs. none expected
USDA announces Corn Export Sale – 138.4 K T. sold to Guatemala
After some consolidation, backing and filling of yesterday’s rally flat price corn resumed its grind higher. I did not think weekly corn export sales were anything to write home about nor was the announced sale to Guatemala. News wires’ reports will talk about strength elsewhere, wheat, oats & crude oil, buoying corn prices higher. I won’t argue with that but I also think the idea of corn yields not improving as much as was thought just two weeks ago is adding to the recent strength.
Most interior cash markets that I follow are soft looking as they tout “harvest pressure”. Elsewhere in the corn belt where the corn crop was not very good I’m hearing of basis improvements especially from the local processors. The NOLA Gulf, slowly but sure coming back into operation, continues to up its basis. Corn spreads ran fractionally mixed on the day while exhibiting unusual strength for the onset of harvest.
Unless outside markets are once again appreciably stronger on Friday I would expect the flat price to exhibit some psychological “harvest pressure” going into what appears to a good weekend for harvesting especially in the western corn belt.
Daily Support & Resistance – 09/24
Dec Corn: $5.24 – $5.35
March Corn: $5.31 – $5.43
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