The corn market faded on Friday with 12 ¾ to 5 cent losses across the front months. May futures were still up by a net 11 cents for the week, and Dec prices were up by a net 9 ½ cents on the week.
Weekly CFTC data showed managed money corn traders held a 295,258 contract net short in corn futures as of 2/27. That was a 45.5k contract reduction via short covering through the week. Commercial corn hedgers also reduced exposure during the week, dropping 115.3k contracts and reducing their net long by 36k to 22,133 contracts.
The monthly Grain Crush report had 433.6 mbu of corn processed for ethanol during the month of Jan. That was under the average trade estimate and a 10$ drop for the month. Jan ’23 ethanol grind was 440.96 mbu. The season’s total corn draw reached 2.266 bbu through January.
The tax guidance regarding ethanol based SAF (sustainable aviation fuel) tax guidance was missed with a delay for the legislature. The tax credits are expected to increase ethanol based SAF production.
Mar 24 Corn closed at $4.12 1/4, down 3 1/2 cents,
Nearby Cash was $3.96 3/4, down 3 5/8 cents,
May 24 Corn closed at $4.24 3/4, down 4 3/4 cents,
Jul 24 Corn closed at $4.36 1/4, down 5 cents,
Dec 24 Corn closed at $4.59 1/4, down 4 cents,
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