Corn Futures Rise as Ethanol Production Hits New Highs Post-Election

Futures for corn finished stronger, gaining between 2 to 7 ¾ cents despite earlier losses. This upward shift came as the US dollar index rose by 1.731 points to reach 105.055 after the recent Presidential election re-elected President Trump. In the cash market, the national average Cash Corn price according to cmdtyView increased by 8 ¾ cents to $3.99 ¾ per bushel.

Ethanol Production Soars, Impacting Supply Levels

The Energy Information Administration (EIA) released its weekly Petroleum Status Report, highlighting a notable increase in ethanol production to nearly a record 1.105 million barrels per day for the week ending November 1. This marks an increase of 23,000 barrels per day compared to the previous week. Furthermore, ethanol stocks rose by 249,000 barrels, totaling 22.02 million barrels as supply improved. However, refiner production dipped by 4,000 barrels to 918,000 per day, even as exports surged by 49,000 barrels per day, reaching 109,000 barrels.

Expectations for Corn Sales Ahead of Upcoming Reports

As the market anticipates the Thursday morning export sales report, estimates suggest corn sales for the week ending October 31 could range from 1.7 to 2.5 million metric tons for the 2024/25 marketing year. Meanwhile, sales for the 2025/26 marketing year are projected between 0 and 50,000 metric tons.

Upcoming WASDE Report to Impact Stock Projections

The upcoming World Agricultural Supply and Demand Estimates (WASDE) report is expected to show a decrease in US corn ending stocks, forecasted at 1.946 billion bushels, reflecting a decline of 53 million bushels from the previous month’s estimate. The estimates range from 1.828 to 2.071 billion bushels. On a global scale, corn carryout is projected to drop by 0.82 million metric tons to 305.7 million metric tons.

Market Closing Prices

Today’s market saw the following closing prices:

• Dec 24 Corn: $4.26 ¼, up 7 ¾ cents
• Nearby Cash: $3.99 ¾, up 8 ¾ cents
• Mar 25 Corn: $4.39, up 7 cents
• May 25 Corn: $4.45 ¾, up 6 ¾ 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.

The views and opinions expressed herein are those of the author and do not necessarily reflect those of Nasdaq, Inc.