Corn Prices Getting a Helping Hand from Wheat
Corn futures are getting help from double digit gains in the wheat on Tuesday, as prices are up 1 to 3 cents at midday. The weekly crop condition ratings slipping also helped the bulls out, with some pre-report positioning for Wednesday’s WASDE occurring.
NASS reported that 95% of the US corn crop is planted and 85% is emerged, both in line with average. Condition ratings were 74% good or excellent, a 1% drop. The Brugler500 Index dropped 1 point from last week to 384. That is 1 point below 2020 for this week and -2 from 2018 conditions. Shifts by state saw IL and MN down 5 points, with OH 3 points lower. Aside from some other fringe states, ND was the only other major state to see a drop, down 17 points. IA was up 2 points, with IN a point improved, as NE shot 10 points higher. Both SD and MO were up 4 points.
Ahead of Wednesday’s USDA WASDE report traders are expecting to see another reduction to the Argentine corn crop, this time by an average of 1.8 MMT to 51.2 MMT. Brazil’s corn crop is pegged at 121.1 MMT, a 0.9 MMT reduction from the May WASDE.
Jul 24 Corn is at $4.54 3/4, up 3 cents,
Nearby Cash is at $4.37 3/8, up 3 1/8 cents,
Sep 24 Corn is at $4.57 1/2, up 1 1/4 cents,
Dec 24 Corn is at $4.69 1/2, up 1 1/4 cents,
New Crop Cash is at $4.33 3/8, up 1 1/4 cents,
On the date of publication, Alan Brugler did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.