Corn prices are fractionally mixed into the day trade, with Dec going into Friday at a 12 ¼ cent gain for the week. Dec corn futures turned higher in the afternoon and finished Thursday at the high, back above the $5 mark for the first time since 8/21 (first close >$5 since 8/02). The board settled 6 ¾ to 13 cents in the black across the front month contracts. There was huge net new buying and commercial hedging on the Thursday rally, with preliminary open interest jumping 47,246 contracts.
The weekly USDA data showed 881k MT of corn was booked during the week that ended 10/12. That was a 3-wk low, but was within estimates and well above the 200k MT sold during the same week last year. USDA listed Mexico as the top buyer, and as the top destination for the week’s export. Accumulated shipments were at 4 MMT (157 mbu) for the season.
China is getting over their aversion to GMO corn, having now approved at least 37 varieties and run trial plots in 5 provinces. If they begin to plant them on a wide scale, national average yields would be expected to jump sharply and imports decline.
Dec 23 Corn closed at $5.05, up 13 cents, currently up 3/4 cents
Nearby Cash was $4.75 3/8, up 13 3/8 cents,
Mar 24 Corn closed at $5.17, up 10 1/2 cents, currently down 1/4 cent
May 24 Corn closed at $5.24, up 9 1/2 cents, currently UNCH
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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