Corn Prices Higher @ Midday
Corn prices are steady to 2 cents higher at midday. There was some net new buying on Tuesday, with open interest up 7,011 contracts (mostly December). Overnight buying was tied to derecho wind damage in IA, IL and a corner of IN, but this is notoriously difficult to quantify and traders are taking more of a wait and see attitude during the day session.
EIA data from this morning showed near record high ethanol production in the week that ended on July 12 at an average 1.106 million barrels per day. That was a 52,000 bpd increase on the week and the second largest implied corn consumption all time. Ethanol stocks totaled 23.16 million barrels, a 443,000 barrel drop from the previous week despite the big production number.
Trade ideas for old crop corn Export Sales are running 500-800,000 MT for the week ending July 11, with the report expected tomorrow morning.
| Sep 24 Corn | is at $3.97, up 1 1/4 cents, |
| Nearby Cash | is at $3.90 5/8, up 1 1/4 cents, |
| Dec 24 Corn | is at $4.10 3/4, up 2 cents, |
| Mar 25 Corn | is at $4.24, up 2 cents, |
| New Crop Cash | is at $3.73 1/2, up 1 3/4 cents, |
On the date of publication, Alan Brugler did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.