Front month corn futures rallied double digits as the market pushed too aggressively to the downside. Prices were up by double digits at the close. Â
Traders expect between zero and 500k MT of old crop corn was sold during the week that ended 6/29. New crop bookings are also estimated to be at most 500k MT.Â
EIA data showed that ethanol producers averaged 1.06 million barrels of output per day during the week that ended 6/30. That was a 30-week high and the 6th consecutive week >1m bpd. Ethanol stocks were 22.26 million barrels, 719k tighter wk/wk.Â
Census data showed 6.09 MMT of corn was exported during the month of May. That was a 15.6% drop from May last year, though shipments to both China and Mexico were higher yr/yr. The season’s official export program sits at 33.4 MMT as of May, a 3-yr low. Shipments need to average 254 mbu/month to hit the current WASDE figure.Â
Brazil has reportedly harvested 20% of the 2nd crop corn, with yields sufficient to raise production estimates. AgRural figures a 102.9 MMT 2nd crop, up from 97.9 MMT, and StoneX raised their outlook by 2.3 MMT to 105.2. StoneX expects a full corn production of 136 MMT for Brazil, compared to USDA’s 132 MMT and CONAB is still at 125 MMT. Â
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Sep 23 Corn  closed at $4.99, up 13 3/4 cents,
Nearby Cash  was $5.39, up 14 7/8 cents,
Dec 23 Corn  closed at $5.06 1/2, up 13 cents,
Mar 24 Corn  closed at $5.18 1/4, up 13 cents,
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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.
