Corn prices are fractionally to a penny higher going into the USDA report day. Preliminary OI data had the market net new buying yesterday into the data with 2k new futures, 5.4k new calls, and 5k new puts added. The corn market followed the wheat trade with gains on Thursday. Futures ended the day 3 ¼ to 4 cents higher across the front months, as March futures printed a 6 ¼ cent range and closed 1 ¼ cents under the daily high. March sits at a net 3 ¼ cent gain for the week. Preliminary open interest rose 2,049 contracts on Thursday, net new buying mixed in with some short covering in the old crop December and March contracts.Â
Wire sources say South Korea’s KFA bought 130,000 MT of optional origin corn.
Brazil’s CONAB reduced projected corn production there by 530,000 MT to 118.53 MMT. That is both for summer crop (mostly planted now) and winter crop (which won’t be planted for the most part until soybeans come off in January and February). That is well below the November WASDE number, but USDA is often reluctant to change South American estimates this early in the growing season.Â
USDA’s weekly Export Sales report showed 1.289 MMT of corn was booked during the week that ended 11/30. That was a 4-wk low but was within the range of estimates. Corn commitments for the season were up to 25.747 MMT (1 billion bushels).Â
Mar 24 Corn  closed at $4.88, up 3 3/4 cents, currently up 1 cent
Nearby Cash  was $4.57 3/8, up 4 1/2 cents,
May 24 Corn  closed at $4.99 1/2, up 3 3/4 cents, currently up 1 cent
Jul 24 Corn  closed at $5.08, up 4 cents, currently up 3/4 cent
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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