Corn started the week by opening lower and then extended session losses. Early overnight pressure was due to harvest pressure as most expect to see good progress in this afternoon’s Crop Progress report. Weather forecasts continue to show favorable weather for harvest to advance. Pressure was also due to weather forecasts for Brazil that continue to show rain events by the end of the week. Losses were trimmed by the start of the day session due to news of a 198 TMT export sale of corn to an unknown destination. Support also spilled over from the higher wheat complex as well as from an escalation in both wars. Reports have a Russian missile striking a boat loaded with corn in the Black Sea. Expectations of a friendly USDA report Friday added support to corn. As of October 3, Argentina corn planting is estimated at 10% vs 8% last week and 17% average.
On Tuesday corn opened the overnight session steady but slipped to post losses and extended those losses throughout the night. Early selling pressure was due to spillover pressure from the soybeans as well as from no earth-shattering supportive news from the Crop Progress report. Corn was able to trim losses at the start of the day session with support coming from what, but the losses in the soybeans and forecasts calling for good harvest weather limited the recovery. Dr Cordonnier left his estimate for the US corn unchanged this week with yield at 182.5 bu. and production at 15.09 BB. Corn continues to be a follower, and today corn followed soybeans.
Corn opened lower but recovered to post gains by the end of the night session and then extended session gains once Wednesday’s day session started. Early selling was tied to an ideal weather forecast for the US as hot and dry conditions are expected to continue to dominate the US over the next 10 days, which should allow producers to make a good dent in harvest. Support was due to reports of an unknown destination buying 126 TMT of corn. The world’s largest ethanol plant is starting operation this week in Brazil. The plant is expected to grind 180 MB of corn per year and produce 550 million gallons of ethanol per year. The plant is expected to consume 10% of Mato Grosso’s corn production.
Last week’s ethanol production was estimated at 1.038 million barrels, up 23,000 barrels from the previous week and above expectations. Stocks were estimated at 22.15 million barrels, down 1.3 million barrels from the previous week. Stocks were sharply lower than expected. Gas demand made a huge recovery, skyrocketing sharply above the 5-year average. Gas demand is at 146-week highs (almost 3 years).
In Thursday’s session corn opened the overnight session steady but managed to find strength early and pushed to post small gains by early morning. Strength continued at the start of the day session but faded away by midsession. Early support spilled over from the higher wheat complex. Light support was also due to expectations of a friendly report tomorrow. Gains were trimmed around midsession with selling spilling over from the lower soybean market. The rest of the session would see corn waffling back and forth stuck in a tug of war between wheat and soybeans. Weather forecasts calling for rain for Brazil this weekend combined with warm dry forecasts for the US also applied pressure to corn.
Target $4.35 Dec to advance sales.
Dec corn support is at $3.90 while resistance is at $4.25.
For the week, Dec corn was at $4.1575 down 9.0 cents. March corn was at $4.33 down 8.75 cents.
Corn Weekly Comments Oct 11
Corn Weekly Comments Oct 11
Corn started the week by opening lower and then extended session losses. Early overnight pressure was due to harvest pressure as most expect to see good progress in this afternoon’s Crop Progress report. Weather forecasts continue to show favorable weather for harvest to advance. Pressure was also due to weather forecasts for Brazil that continue to show rain events by the end of the week. Losses were trimmed by the start of the day session due to news of a 198 TMT export sale of corn to an unknown destination. Support also spilled over from the higher wheat complex as well as from an escalation in both wars. Reports have a Russian missile striking a boat loaded with corn in the Black Sea. Expectations of a friendly USDA report Friday added support to corn. As of October 3, Argentina corn planting is estimated at 10% vs 8% last week and 17% average.
On Tuesday corn opened the overnight session steady but slipped to post losses and extended those losses throughout the night. Early selling pressure was due to spillover pressure from the soybeans as well as from no earth-shattering supportive news from the Crop Progress report. Corn was able to trim losses at the start of the day session with support coming from what, but the losses in the soybeans and forecasts calling for good harvest weather limited the recovery. Dr Cordonnier left his estimate for the US corn unchanged this week with yield at 182.5 bu. and production at 15.09 BB. Corn continues to be a follower, and today corn followed soybeans.
Corn opened lower but recovered to post gains by the end of the night session and then extended session gains once Wednesday’s day session started. Early selling was tied to an ideal weather forecast for the US as hot and dry conditions are expected to continue to dominate the US over the next 10 days, which should allow producers to make a good dent in harvest. Support was due to reports of an unknown destination buying 126 TMT of corn. The world’s largest ethanol plant is starting operation this week in Brazil. The plant is expected to grind 180 MB of corn per year and produce 550 million gallons of ethanol per year. The plant is expected to consume 10% of Mato Grosso’s corn production.
Last week’s ethanol production was estimated at 1.038 million barrels, up 23,000 barrels from the previous week and above expectations. Stocks were estimated at 22.15 million barrels, down 1.3 million barrels from the previous week. Stocks were sharply lower than expected. Gas demand made a huge recovery, skyrocketing sharply above the 5-year average. Gas demand is at 146-week highs (almost 3 years).
In Thursday’s session corn opened the overnight session steady but managed to find strength early and pushed to post small gains by early morning. Strength continued at the start of the day session but faded away by midsession. Early support spilled over from the higher wheat complex. Light support was also due to expectations of a friendly report tomorrow. Gains were trimmed around midsession with selling spilling over from the lower soybean market. The rest of the session would see corn waffling back and forth stuck in a tug of war between wheat and soybeans. Weather forecasts calling for rain for Brazil this weekend combined with warm dry forecasts for the US also applied pressure to corn.
Target $4.35 Dec to advance sales.
Dec corn support is at $3.90 while resistance is at $4.25.
For the week, Dec corn was at $4.1575 down 9.0 cents. March corn was at $4.33 down 8.75 cents.