Corn prices are sitting with a nickel gain coming out of the weekend. The overnight range was mostly upward within 7 1/4 cents. Corn futures ended the day 11 1/4 to 12 1/4 cents weaker on Friday. December completed the week with a net 1/4 cent loss.
There were 53 delivery notices against July corn over the weekend, with all 53 stopped by commercials for their house accounts, typically stronger hands. Preliminary open interest sank 12,174 contracts on Friday due to long liquidation ahead of the weekend.
Traders are looking for an out-of-character yield cut in the WASDE report on Wednesday. None of the 23 Bloomberg survey respondents believed USDA would maintain the 181.5 bpa corn yield. USDA has deviated from May/June estimate in the past, but only when substantial evidence exists to do so. The average of pre-report estimates is to see a 5.2 bpa reduction to 176.3 bpa.
Source: barchart.com
Photo Credit: gettyimages-steve-greer
Categories: Kansas, Crops, Corn