Friday trading pushed the corn market 1 3/4 to 2 1/2 cents higher for the 3 day weekend. For the week, March futures were down by 2 3/4 cents but September was 1/4 of a cent higher. USDA reported the week’s average cash ethanol prices from $1.98 to $2.18 regionally, but mostly 1 to 6 cents/gal higher. DDGS were quoted from $230-$240/ton in WI/MI/IN to $260-$300/ton in SD/NE/IA/MO. Regional DDGS were mostly lower from $5 to $20/ton for the week. Corn oil cash markets ranged from 53 – 68 cents/lb, but were mostly 3 to 11 cents lower on the week.
The BAGE reported 100% of Argentina’s 22/23 corn crop was planted on 7.1m HA, including both early and late planted corn crops.
USDA’s ERS 10 year forecast has 2023 corn acres at 92m and a 181.5 bpa yield with stocks growing to 1.712 bbu and the cash average price fading to $5.70/bu. USDA’s Ag Outlook Forum will provide the Office of the Chief Economist’s estimates for new crop next week, before the March Planting Intentions report and the first official balance sheets in the May WASDE. By the end of the decade, ERS assumes corn stocks would be comfortable near 16 bbu as trend-line yields improve to 199.5 bpa and cash prices get steady at $4.30/bu in the long run.
The IGC cut their outlook for global corn production from 1.161 to 1.153 billion metric tonnes. including a 2.5 MMT cut to Argentina (to 53.5 MMT) and a 5 MMT cut to the U.S. That mainly came out of use as stocks were actually 300k MT looser to 254.6 MMT.
Mar 23 Corn closed at $6.77 3/4, up 1 3/4 cents,
Nearby Cash was $6.79 3/8, up 1 7/8 cents,
May 23 Corn closed at $6.77 1/2, up 2 1/2 cents,
Jul 23 Corn closed at $6.66, up 2 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.
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