To start the week corn opened lower but rose to post small gains by the end of the night. Early support was due to technical buying. Light support was due to strong demand which was evident by this morning export shipments estimate. Weather forecasts are calling for heat to return to the Northern Plains and western Corn Belt by midweek. The Pro Farmer Tour is also crossing the Corn Belt this week, with Monday’s stops taking place in OH and SD and NE. So far, they have found a crop that is below last year’s findings by 20% to 30%. As of August 14, Brazil was reporting second corn crop harvest progress at 73% complete vs 63% last week and vs 81% average. Rain continues to delay activity.
In Tuesday’s session corn opened lower but brushed off the early selling pressure to post gains by the end of the night session. Support came from friendly day 1 results from the Pro Farmer tour. The friendly Crop Progress report did not hurt either. The day 1 results found a disappointing corn crop in both SD and OH, but for different reasons. The tour estimated SD’s corn crop at 149.09 bus vs 174.18 bus last year and vs USDA’s Aug estimated of 151 bus. Drought was the biggest factor. The tour estimated OH’s corn crop at 180.18 bus vs 185.69 bus last year and vs USDA’s Aug estimate of 183.0 bus. Due to wet conditions and immature crop.
Another escalation in the war between Ukraine and Russia combined with another escalation in the war with Iran to add support due to logistic concerns. Late in the session pressure was due to technical selling as corn has traded above their July highs. Technically it would be good for corn to test their May high of $5.06.
Corn opened lower on Wednesday but shook off early selling to turn higher and extend session gains throughout the rest of the session. Early support came from the Pro Farmer Crop Tour, which continues to find issues with this year’s corn crop. Day 2’s results put NE’s corn crop at a disappointing 163.61 bus vs 179.5 last year and vs USDA’s Aug estimate of 183.0 bus. Drought concerns were the main reason for the lower production estimate.
IN’s crop was estimated at 183.54 bus vs 193.82 bus last year and vs USDA’s Aug estimate of 206.0 bus. Flooding and immature crops were the main reason for the reduction in yield. Day three has the tour going through northern IA and IL. Reports were not stellar, which helped give corn support. The first 17 days of August were the wettest on record for the area from IA to PA.
Last week’s ethanol production was estimated at 1.089 million barrels, down 28,000 barrels from the previous week. Stocks were estimated at 25.1 million barrels, up 323,000 barrels from the previous week.
Corn opened Thursday’s session lower with early selling tied to expectations that day 4 of the crop tour will find better production potential. The early pullback was enough to bring traders off the fence and buy as corn did not hold losses very long. Support came from decent demand as well as from another escalation in the war between Ukraine and Russia, which is restricting grain movement through the Black Sea.
Day three of the Crop tour found disappointing potential with both IL and western IA showing lower yield potential. IL’s yield was estimated at 184.19 bus vs 199.57 bus last year and vs USDA’s Aug estimate of 212 bus. Western IA saw a yield estimate of 190.7 bus vs 199.6 bus last year and vs USDA’s Aug estimate of 216 bus. The last leg of the tour was in eastern IA and southern MN, which at pressure time were reporting lower yields than last year. Dec corn traded up to its May contract high but faded slightly off that level going into the close.
Sept corn support is $4.30. Dec corn support is at $4.50.
For the week, Sept corn was at $4.8375 up 24.75 cents. Dec corn was at $5.085 up 25.25 cents.
Corn Weekly Comments August 21
Corn Weekly Comments August 21
To start the week corn opened lower but rose to post small gains by the end of the night. Early support was due to technical buying. Light support was due to strong demand which was evident by this morning export shipments estimate. Weather forecasts are calling for heat to return to the Northern Plains and western Corn Belt by midweek. The Pro Farmer Tour is also crossing the Corn Belt this week, with Monday’s stops taking place in OH and SD and NE. So far, they have found a crop that is below last year’s findings by 20% to 30%. As of August 14, Brazil was reporting second corn crop harvest progress at 73% complete vs 63% last week and vs 81% average. Rain continues to delay activity.
In Tuesday’s session corn opened lower but brushed off the early selling pressure to post gains by the end of the night session. Support came from friendly day 1 results from the Pro Farmer tour. The friendly Crop Progress report did not hurt either. The day 1 results found a disappointing corn crop in both SD and OH, but for different reasons. The tour estimated SD’s corn crop at 149.09 bus vs 174.18 bus last year and vs USDA’s Aug estimated of 151 bus. Drought was the biggest factor. The tour estimated OH’s corn crop at 180.18 bus vs 185.69 bus last year and vs USDA’s Aug estimate of 183.0 bus. Due to wet conditions and immature crop.
Another escalation in the war between Ukraine and Russia combined with another escalation in the war with Iran to add support due to logistic concerns. Late in the session pressure was due to technical selling as corn has traded above their July highs. Technically it would be good for corn to test their May high of $5.06.
Corn opened lower on Wednesday but shook off early selling to turn higher and extend session gains throughout the rest of the session. Early support came from the Pro Farmer Crop Tour, which continues to find issues with this year’s corn crop. Day 2’s results put NE’s corn crop at a disappointing 163.61 bus vs 179.5 last year and vs USDA’s Aug estimate of 183.0 bus. Drought concerns were the main reason for the lower production estimate.
IN’s crop was estimated at 183.54 bus vs 193.82 bus last year and vs USDA’s Aug estimate of 206.0 bus. Flooding and immature crops were the main reason for the reduction in yield. Day three has the tour going through northern IA and IL. Reports were not stellar, which helped give corn support. The first 17 days of August were the wettest on record for the area from IA to PA.
Last week’s ethanol production was estimated at 1.089 million barrels, down 28,000 barrels from the previous week. Stocks were estimated at 25.1 million barrels, up 323,000 barrels from the previous week.
Corn opened Thursday’s session lower with early selling tied to expectations that day 4 of the crop tour will find better production potential. The early pullback was enough to bring traders off the fence and buy as corn did not hold losses very long. Support came from decent demand as well as from another escalation in the war between Ukraine and Russia, which is restricting grain movement through the Black Sea.
Day three of the Crop tour found disappointing potential with both IL and western IA showing lower yield potential. IL’s yield was estimated at 184.19 bus vs 199.57 bus last year and vs USDA’s Aug estimate of 212 bus. Western IA saw a yield estimate of 190.7 bus vs 199.6 bus last year and vs USDA’s Aug estimate of 216 bus. The last leg of the tour was in eastern IA and southern MN, which at pressure time were reporting lower yields than last year. Dec corn traded up to its May contract high but faded slightly off that level going into the close.
Sept corn support is $4.30. Dec corn support is at $4.50.
For the week, Sept corn was at $4.8375 up 24.75 cents. Dec corn was at $5.085 up 25.25 cents.