Corn Prices Slide Again Amid Mixed Market Signals
Market Faces Ongoing Pressure Following Friday’s Decline
Corn prices continued to drop on Monday, reflecting a downturn that began last Friday, with losses ranging from 3 to 5 cents. On Friday, corn contracts fell between 4 to 8 cents across various months, concluding with March’s close at a 5 cent loss. CmdtyView’s national average Cash Corn price decreased by 6 ¾ cents, settling at $4.59 1/2.
Speculation Versus Commercial Trends in Futures Market
According to Commitment of Traders data from the CFTC, speculative funds increased their positions in corn futures and options by adding 21,144 contracts to reach a net long total of 353,533 contracts for the week ending February 18. In contrast, commercials expanded their net short positions, adding another 22,352 contracts for a total of 638,930 contracts.
Export Data Shows Strong Commitments
The Export Sales report released on Friday showed that 1.454 million metric tons of corn were sold during the week ending February 13. Total export commitments have now reached 47.87 million metric tons, reflecting a 29% increase from last year. This figure represents 77% of the USDA’s projected exports, surpassing the average pace by 3 percentage points.
Upcoming USDA Outlook for 2025 Crop
This week, the USDA will present its initial outlook for the 2025 corn crop during its February Outlook Forum. Analysts surveyed by Bloomberg predict the USDA will report that 93.5 million acres will be planted with corn, marking an expected increase from last year’s 90.6 million acres, with estimates ranging between 92 to 95.1 million acres.
Brazil’s Corn Planting on Track
In Brazil, AgRural reported that the country’s second corn crop was 64% planted by last Thursday, approaching its five-year average pace.
Current Market Pricing Data
Mar 25 Corn closed at $4.91 1/4, down 6 3/4 cents, and is currently down 4 3/4 cents. Nearby Cash was quoted at $4.59 1/2, also down 6 3/4 cents.
May 25 Corn closed at $5.05, down 7 3/4 cents, currently down 4 1/2 cents. Dec 25 Corn closed at $4.75, down 4 1/2 cents, now down 3 1/4 cents. New Crop Cash price sits at $4.43 1/4, down 4 3/4 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 are solely for informational purposes. For more information, please view the Barchart Disclosure Policy
here.
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