Corn prices are starting off the first full week of February with 1 to 2 ½ cent losses so far. Friday’s corn market closed with 2 ¼ to 4 ¾ cent losses. That pushed old crop March 3 ¾ cents lower for the full week. Long liquidation pressured nearby March, while net new selling was seen overall as preliminary open interest rose 6,655 contracts. Dec futures held onto a ½ cent gain for the week. The old-new crop carry was up to 34 cents at the close.
CFTC’s weekly Commitment of Trader’s report showed corn specs expanded their short during the week that ended 1/30. The 18.8k new shorts expanded the group’s net short to 280,151 contracts. Commercial corn hedgers reduced positions, with 26k fewer contracts in play and an 8k contract weaker net long.
According to industry surveys, traders are expecting USDA’s Feb reports to tighten the 23/24 U.S. corn carryout by 12.7 mbu on average. Corn exports on average are expected to be upped by 7.8 mbu going into the report. Global corn carryout is expected to tighten 600k MT on average with a 2.2 MMT smaller Brazilian crop expected.
Mar 24 Corn closed at $4.42 3/4, down 4 1/2 cents, currently down 2 1/2 cents
Nearby Cash was $4.24 5/8, down 4 3/4 cents,
May 24 Corn closed at $4.53 1/2, down 4 3/4 cents, currently down 2 cents
Jul 24 Corn closed at $4.62 1/2, down 3 1/2 cents, currently down 2 cents
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