Corn Commentary
Sept Corn closes 5 ¼ cents lower ($3.41 ¾), Dec 5 ¾ cents lower ($3.55 ¼) and March 5 ¾ cents lower ($3.67 ¾)
October Chgo Ethanol 0.011 cents a gallon higher ($1.526), Nov 0.006 cents higher ($1.479)
Weekly Corn Export Sales – old crop vs. 0-250 K T. expected – new crop vs. 650-950 K T. expected
Flat price corn corrects following the recent advance. I get the impression that the spec shorts feel they have done enough short covering and are now willing to wait and see what the USDA has to say next Tuesday. The recent frost scares (for the past two mornings) have now come and gone. Forecasts suggest clear weather ahead with temps slowly warming the west while the east staying cooler than normal but not as cool in recent days.
Interior cash corn markets had a mixed on Thursday. Many locations that saw old crop corn move last week have a defensive look. River locations that are associated with CBOT delivery points saw a number of deliverable registrations cancelled have backed off on their bids as well. The Gulf, for now, appears to be a non-event. Corn spreads saw little change on the day.
The price action is suggesting we are going into a minor consolidation phase as we await the latest from the USDA next Tuesday. It would not surprise me to see Dec corn trade in a 10 cents range for the next 2 ½ days; $3.50 to $3.60.
Daily Support & Resistance for 09/08
Dec Corn: $3.50 – $3.60
March Corn: $3.62 ½ – $3.72 ½
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