December Corn closed 1 ¾ cents higher ($5.34), March 2 cents higher ($5.43) & May 1 ¾ cents higher ($5.48)
Weekly Corn Export Sales – 1.265 M T. old crop vs. 350-800 K T. expected – no new crop vs. none expected
USDA Announces Corn Export Sale – 314.2 K T. to Mexico
Noticeably better than expected weekly export sales, an announced sale to Mexico and most influential a turn back higher in energy prices had the corn market rallying out of an early hole that was brought on by the harvest syndrome. It remains my thought that the corn yield is not as great as previously thought but that is getting offset by a higher old crop stocks figure and just steady demand. Some are thinking we may see some demand cuts on Tuesday’s production/supply-demand update. It has become my thought we’ll probably trade Dec corn between $5.25 and $5.45 until we see the USDA on Tuesday.
Interior cash markets appear to be stabilizing from recent weakness as is the Gulf market. Intra-market corn spreads ran mostly steady on the day within the old crop (Dec loses ¼ cent to March – steady elsewhere).
Daily Support & Resistance – 10/08
Dec Corn: $5.29 – $5.40
March Corn: $5.38 – $5.49
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