To start the week corn opened lower but managed to push to end the night session with small gains. Early selling was tied to profit taking and end of month position squaring. Light selling was also tied to reports that Turkey was trying to set up a safe export corridor with Russia and Ukraine. Light selling was tied to Safras and Mercado increasing Brazil’s corn production estimate 600 TMT to 145.6 MMT.
Losses were kept in check by last week’s COT report, which showed the funds added 126,000 positions to their net long holdings. A higher crude oil market added support as crude rallied on the return of military action between the US and Iran over the weekend. As of Aug 28, Brazil’s second crop corn harvest progress was estimated at 88% complete vs 82% last week and 93% average. As of Aug 27, Argentina was estimating their corn harvest at 95% complete vs 92% last week and 98% average.
Corn opened Tuesday’s session lower but was able to brush off the early selling pressure and push higher. Early selling was tied to a better-than-expected crop rating for corn in Monday’s Crop Progress report. Although conditions were left unchanged from the previous week, 1% of excellent slipped to the good category. Again, the western Corn Belt and Northern Plains saw the declining rates while the main Corn Belt remained unchanged. Reports that Russia has no plans on helping Ukraine ship out grains added support as it will result in the less corn movement out of Ukraine as well. Weather forecasts call for continued heat and dry conditions to linger over much of the major going regions of the US for the next 15 days.
In Wednesday’s session corn opened lower and extended session pressure throughout the night. Selling was tied to profit taking and technical pressure as sell orders were triggered once corn traded to another new contract high. But every retracement gets met with buying and that happened again today. Corn managed to shake off the early selling pressure and push higher throughout most of the day session due to another night of heavy escalation in the war between Russia and Ukraine.
Last week’s ethanol production was estimated at 1.11 million barrels, down 2,000 barrels from the previous week. Stocks were estimated at 25.04 million barrels, down 171,000 barrels from the previous week.
Corn opened Thursday’s session lower and extended losses throughout the night. Like wheat, corn started on the defense and saw heavy selling after Putin’s 3 AM comments on potential peace talks with Ukraine. Technical selling pressure was also evident as traders tried to clean up and overbought market condition. Position squaring the evening up of positions ahead of the long weekend was also seen. Hedge selling pressure added to the pressure. Losses were trimmed late in the session due to spillover support from the higher soybean market. Light support was also due to a private analyst’s corn yield estimate. Their survey put corn’s yield at 178.7 bus vs USDA’s 180.7 bus. Weather forecasts calling for the Northern Plains and western corn Belt to see temps into the 90’s over the next three days also limited losses.
Dec corn support is at $5.07.
For the week, Dec corn was at $5.3675 up 0.25 cent. Mar corn was at $5.5225 up 1.0 cent.
For the month, Sept corn was up 74.25 cents. Dec corn was up 73.75 cents.
Corn Weekly Comments September 4
Corn Weekly Comments September 4
To start the week corn opened lower but managed to push to end the night session with small gains. Early selling was tied to profit taking and end of month position squaring. Light selling was also tied to reports that Turkey was trying to set up a safe export corridor with Russia and Ukraine. Light selling was tied to Safras and Mercado increasing Brazil’s corn production estimate 600 TMT to 145.6 MMT.
Losses were kept in check by last week’s COT report, which showed the funds added 126,000 positions to their net long holdings. A higher crude oil market added support as crude rallied on the return of military action between the US and Iran over the weekend. As of Aug 28, Brazil’s second crop corn harvest progress was estimated at 88% complete vs 82% last week and 93% average. As of Aug 27, Argentina was estimating their corn harvest at 95% complete vs 92% last week and 98% average.
Corn opened Tuesday’s session lower but was able to brush off the early selling pressure and push higher. Early selling was tied to a better-than-expected crop rating for corn in Monday’s Crop Progress report. Although conditions were left unchanged from the previous week, 1% of excellent slipped to the good category. Again, the western Corn Belt and Northern Plains saw the declining rates while the main Corn Belt remained unchanged. Reports that Russia has no plans on helping Ukraine ship out grains added support as it will result in the less corn movement out of Ukraine as well. Weather forecasts call for continued heat and dry conditions to linger over much of the major going regions of the US for the next 15 days.
In Wednesday’s session corn opened lower and extended session pressure throughout the night. Selling was tied to profit taking and technical pressure as sell orders were triggered once corn traded to another new contract high. But every retracement gets met with buying and that happened again today. Corn managed to shake off the early selling pressure and push higher throughout most of the day session due to another night of heavy escalation in the war between Russia and Ukraine.
Last week’s ethanol production was estimated at 1.11 million barrels, down 2,000 barrels from the previous week. Stocks were estimated at 25.04 million barrels, down 171,000 barrels from the previous week.
Corn opened Thursday’s session lower and extended losses throughout the night. Like wheat, corn started on the defense and saw heavy selling after Putin’s 3 AM comments on potential peace talks with Ukraine. Technical selling pressure was also evident as traders tried to clean up and overbought market condition. Position squaring the evening up of positions ahead of the long weekend was also seen. Hedge selling pressure added to the pressure. Losses were trimmed late in the session due to spillover support from the higher soybean market. Light support was also due to a private analyst’s corn yield estimate. Their survey put corn’s yield at 178.7 bus vs USDA’s 180.7 bus. Weather forecasts calling for the Northern Plains and western corn Belt to see temps into the 90’s over the next three days also limited losses.
Dec corn support is at $5.07.
For the week, Dec corn was at $5.3675 up 0.25 cent. Mar corn was at $5.5225 up 1.0 cent.
For the month, Sept corn was up 74.25 cents. Dec corn was up 73.75 cents.