$5 Corn Defended on Friday

Dec corn tried to get over the $5 round number on Thursday and again early in the Friday trade – having came up a penny short. Dec has been sub-$5 since August. Friday’s session ended with nickel losses across the front months to limit the week’s gain. December was still 15 ¼ cents higher for the week. 

USDA’s National Weekly Ethanol report showed cash prices were mainly steady to a penny lower with last week from $2.25 to $2.38/gal. DDGS were shown from $180 to $220/ton regionally, mostly $5-$15 weaker. Corn oil quotes averaged 65 to 70 cents for the week regionally, mostly 1 to 5 cents/lb lower. 

CFTC’s Commitment of Traders report had short covering in corn by the managed funds. That reduced their net short by 9,173 contracts to 159,433 as of 10/3.  Commercial hedgers added 14.5k new short hedges through the week, in addition to the 3k fewer longs, for a 33,945 contract net short. 

BAGE reported corn planting advanced 6.6% points to 13.9% complete as of 10/5. They maintained their expected area as 7.3m HA for the Argentine crop. Coceral dropped their estimate for EU grains by 6.9 MMT to 289.8 MMT citing early summer dryness. FranceAgriMer had corn harvest at 27% complete in France, up 15% points for the week but trailing the 64% pace last year. 

The FAS data series showed 1.816 MMT of corn was booked during the week that ended 9/28. Total 23/24 corn commitments were 14.38 MMT (566.3 mbu) for the season, up from 13 MMT at the same time last year. 

Dec 23 Corn  closed at $4.92, down 5 1/2 cents,

Nearby Cash   was $4.59 5/8, down 5 cents,

Mar 24 Corn  closed at $5.07 1/4, down 5 cents,

May 24 Corn  closed at $5.15 1/4, down 5 1/4 cents,