Market Dynamics
There was a marked downturn in old crop corn prices, with a drop of 8 to 9 cents red close on Tuesday, resulting in a net 15 ½ cent loss for May’s weekly movement. New crop prices also faltered, closing 5 to 6 ¾ cents weaker. Dec experienced a net loss of 9 ¾ cents for the week through the initial two sessions.
National Crop Progress
The first national Crop Progress report of the 24/25 season from NASS revealed that corn planting initiated in IL, KS, KY, MO, TN, and TX. Nationally, 2% of the crop was planted by 3/31, aligning with long-term averages. Noteworthy, Texas led with 57% already planted, while Milo saw 11% planting, with Texas accounting for 42% of the state crop.
Global Trends
NASS reported a 11% year-on-year growth in Feb corn ethanol grind at 441.5 mbu due to an additional operational day. Safras and Mercado indicated that Brazil’s 2nd crop corn was 99.6% planted by 3/28. Wire sources revealed that Taiwan secured 65k MT of corn shipment, possibly from Argentina.
Export Insights
According to USDA’s weekly Export Inspections report, 1.431 MMT of corn was shipped for the week ending 3/28, the year’s largest volume to date. This exceeded the 1.255 MMT from the previous week and the 1.1 MMT during the corresponding week last year. Noteworthy destinations included Mexico and Japan. The total corn exports as of 3/28 stood at 25.87 MMT, portraying a 33.5% increase over the previous year’s pace.
Market Figures
As of now, May 24 Corn is trading at $4.26 1/2, with an 8 cent decrease. Nearby Cash is at $4.07 7/8, down by 8 5/8 cents, while Jul 24 Corn trades at $4.41, dropping 8 1/4 cents. Lastly, Dec 24 Corn stands at $4.68, falling by 6 3/4 cents.
On the date of publication, Alan Brugler had no positions in the securities mentioned directly or indirectly. All information in this article is for informational purposes only. For further details, refer to the Barchart Disclosure Policy.
The views expressed in this article represent the author’s opinions and do not necessarily mirror those of Nasdaq, Inc.
