Corn Fading Double Digits

Corn prices are double digits weaker through Thursday’s midday. May is 13 1/2 cents in the red, but still above the $8 mark. July breached the $8 mark and is trading 12 3/4 cents lower. New crop futures are down 8 1/4 to 8 3/4 cents so far. May options expire tomorrow, with the $8 mark heavily defended on both sides, but one of several possible pin candidates.  

USDA’s FAS reported 879,212 MT of corn was sold during the week that ended 4/14. That was below the range of expectations, and down 34% from week to week. China was the top buyer with 675k MT during the week – though the business was previously announced. China also added 340k MT of new crop corn, also previously announced in the daily system, and the majority of the 389.6k MT total. As for corn exports, USDA reported 1.196 MMT was shipped through the week of 4/14. That set the MY total as 36.57 MMT, or 1.44 bbu, or 50.5% of the USDA forecast. 

USDA also reported a net cancelation of 53,621 MT of sorghum (unknown) from the week that ended 4/14. That left commitments at 6.7 MMT as of 4/14, with 4.5 MMT having already been shipped. 

The International Grains Council raised estimated global corn output by 3 MMT to 1.210 billion. Trade was raised by 2, with another 4 increase to domestic consumption which reduced carryout to 286 MMT. Their preliminary forecast for 22/23 is to see 1.197 MMT of corn output, which would be down 13 MMT yr/yr. Carryout is forecasted to shrink 21 MMT to 265. 

May 22 Corn  is at $8.02 1/4, down 13 1/2 cents,

Nearby Cash  is at $7.78 3/8, down 12 3/4 cents,

Jul 22 Corn  is at $7.97 1/4, down 12 3/4 cents,

Dec 22 Corn  is at $7.40, down 8 1/2 cents,

New Crop Cash  is at $7.19 1/4, down 9 1/4 cents,