Corn prices are posting 2 to 4 cent lower trade ahead of the monthly WASDE update later this morning. Futures found some light buying on Thursday, likely some spec funds covering a portion of their large and lucrative net short position. Contracts ended the day with gains of 2 ¾ to 4 ½ cents.
There were 63 deliveries vs. July corn overnight, all stopped by a Marex customer and with 54 of them coming from Bunge.
Yesterday morning’s Export Sales report showed corn bookings rebounding from the previous week at 538,331 MT during the week of July 4. Columbia was the top buyer of 200,600 MT, as Japan purchased 188,300 MT. New crop sales slipped from the previous week to 116,496 MT. Mexico bought a total of 143,700 MT, as unknown destinations cancelled 65,000 MT.
Ahead of the USDA WASDE report, US ending stocks are projected to be increased by 27 mbu vs. last month for old crop, at 2.049 bbu. Trade ideas for new crop average 210 mbu higher at 2.312 bbu on a larger crop estimate from the increased acreage shown on 6/28.
On Thursday morning CONAB raised their Brazilian corn crop estimate by 1.7 MMT to 115.86 MMT. That came via an increase to the second crop, which was raised by 1.9 MMT to 90 MMT. Trade estimates ahead of Friday’s USDA report are looking for a 0.7 cut in that agency’s estimate, to 121.3 MMT.
Jul 24 Corn closed at $4.06 3/4, up 3 1/2 cents, currently unch
Nearby Cash was $3.91 1/1, up 5 3/4 cents,
Sep 24 Corn closed at $4.00 1/4, up 4 1/2 cents, currently down 3 3/4 cents
Dec 24 Corn closed at $4.10 3/4, up 3 1/2 cents, currently down 3 cents
New Crop Cash was $3.75 3/8, up 5 3/4 cents,
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