Tuesday Gains for Corn Market

Corn futures traded within a wide 20 cent range, having spent time on both sides of UNCH. At the close for the day, old crop futures were 3 to 3 1/2 cents in the black and new crop corn futures went home 8 3/4 to 9 3/4 cents higher. 

The StatsCan acreage intentions report showed 22/23 corn area is forecasted at 3.715m acres. That was above the average 3.41m expected and up 223k acres yr/yr. 

An RFA written testimony suggested that storage capacity and limited railcar availability are the root cause of reduced ethanol production. Last Wednesday, EIA reported ethanol production was a 30-week low 947k bpd. 

USDA’s Ag Attache estimated the preliminary 22/23 corn crop at 52 MMT on 6.75m HA for Argentina. If realized that would be a 500k MT (1%) increase on a 0.13 MT/HA (1.7%) yield boost from the Attache 21/22 figures. For old crop corn in Argentina, the Attache is 1.5 MMT below the official USDA estimate at 51.5 MMT. Exports were also 1.5 MMT below the official forecast as 37.5 MMT in 21/22 with 22/23 figured as 38 MMT. 

May 22 Corn  closed at $8.03 1/4, up 3 cents,

Nearby Cash   was $7.82 1/1, up 3 1/2 cents,

Jul 22 Corn  closed at $8.01 1/2, up 3 1/2 cents,

Dec 22 Corn  closed at $7.43 1/2, up 9 1/2 cents,

New Crop Cash   was $7.23 1/1, up 8 3/4 cents,