Corn Market Rises with Strong Export Data
Cash Prices Increase as US Exports Show Solid Growth
The corn market began the week on a positive note, rallying by 4 to 5 ¼ cents on Monday, driven by new crop contracts. The national average Cash Corn price from cmdtyView climbed by 4 1/4 cents to reach $4.57.
This morning, the USDA announced a private export sale of 365,000 MT of corn to Mexico scheduled for shipment during the 2024/25 crop year.
Data on Export Inspections revealed total corn shipments at 1.334 MMT (52.52 mbu) for the week ending February 6. This marked a 6.48% rise from the previous week and was 49.5% higher than the same week in the previous year. Mexico led imports with 342,641 MT, followed by Japan at 231,204 MT and South Korea at 188,354 MT. Year-to-date exports stand at 23.088 MMT (909 mbu), a significant increase of 34.15% compared to last year.
Ahead of Tuesday’s USDA report, traders surveyed by Reuters anticipate a reduction of 14 mbu in US ending stocks, bringing it down to 1.524 bbu. Production estimates for Brazil are predicted to decrease by 0.26 MMT to 126.74 MMT, while Argentina’s production is expected to drop by 1.5 MMT, reaching 49.5 MMT. Globally, stocks are projected to decline by 0.82 MMT to 292.52 MMT.
In Brazil, corn exports in January fell to 3.594 MMT, marking a four-year low for the month. This reflects a decrease of 25.2% from last year and a 15.75% drop from the previous month. AgRural reports that 18% of Brazil’s first corn crop has been harvested as of last Thursday, with 20% of the second crop planted.
Mar 25 Corn closed at $4.91 1/2, up 4 cents.
Nearby Cash was $4.57, increasing by 4 1/4 cents.
May 25 Corn finished at $5.04 1/2, also up 4 cents.
Dec 25 Corn ended at $4.71 1/4, gaining 5 1/4 cents.
New Crop Cash reached $4.39 1/1, rising by 5 1/4 cents.
On the date of publication, Austin Schroeder 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.
More news from Barchart
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
