Corn Futures Decline as Ethanol Production Falls
Corn futures struggled to maintain early gains on Wednesday, ending the day with nearby contracts down 6 to 7 cents. New crop contracts finished just ½ cent lower. The CmdtyView national average Cash Corn price decreased by 6 cents, landing at $4.19 1/2.
Ethanol Production and Stocks Drop
The Energy Information Administration (EIA) reported that ethanol production averaged 1.02 million barrels per day for the week ending May 2, which was a decline of 20,000 bpd from the previous week. Additionally, ethanol stocks fell by 198,000 barrels, bringing the total to 25.191 million barrels. Refiner inputs of ethanol decreased by 22,000 bpd to 886,000 bpd, while exports also dropped by 12,000 bpd to 129,000 bpd.
Upcoming Data Releases
Export Sales data will be available on Thursday morning. Analysts anticipate old crop sales will range between 0.7 to 1.4 million metric tons (MMT) for the week ending May 1, while new crop sales are expected to be between 0 to 300,000 MT.
Next week, the USDA will provide its first glimpse of the U.S. balance sheet. A Reuters survey of analysts predicts a yield of 181.1 bushels per acre (bpa), with total production expected to reach 15.787 billion bushels.
Brazil’s Export Activity
Brazil reported corn exports of 178,347 metric tons in April, a noteworthy decrease of 79.53% compared to March, although it was an improvement over the same month in 2024.
Market Close Summary
May 25 Corn closed at $4.41, down 6 1/2 cents.
Nearby Cash was $4.19 1/2, down 6 cents.
Jul 25 Corn closed at $4.49 1/4, a decline of 6 1/4 cents.
Dec 25 Corn closed at $4.40 3/4, down 1/2 cent.
New Crop Cash was $3.99 1/8, down 1/2 cent.
On the date of publication, Austin Schroeder did not hold any positions in the securities mentioned in this article. All information and data provided are for informational purposes only.
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The views expressed herein are those of the author and do not necessarily reflect the views of Nasdaq, Inc.
