Corn Slips Lower as Ethanol Production Backed Off
Corn futures fell 1 to 2 cents on Wednesday after failing to sustain Tuesday’s gains. The USDA reported export sales to Mexico and Colombia, while ethanol production dropped to 1.071 million barrels per day, with stocks slightly down. Canadian corn production is projected at 15.23 MMT, slightly above expectations but 1.2% lower than last year.
Corn futures closed out the Wednesday session with contracts down 1 to 2 cents, failing to gain much traction following Tuesday’s strength.
USDA reported a private export sale of 165,735 MT to Mexico this morning for new crop shipment, with another 100,000 MT sold to Columbia. Export Sales estimates are for old crop corn to be in a range of net reductions of 100,000 to sales 200,000 MT for the week that ended on August 22. New crop sales are estimated in a range of 700,000 MT to 1.4 MMT in net bookings.
The Weekly EIA report showed ethanol production at 1.071 million barrels per day during the week that ended on August 23, down 27,000 bpd from the previous week. Ethanol stocks were down just 2,000 barrels to 23.572 million barrels. Exports of ethanol were reported at 145,000 barrels per day, up 63,000 bpd from the week prior.
Canadian production projections were updated this morning via Statistics Canada, with corn at 15.23 MMT. That came in above the expected 14.97 MMT and 1.2% lower than last year’s production total.
Sep 24 Corn closed at $3.65 1/4, down 2 cents,
Nearby Cash was $3.49 1/2, down 5 1/2 cents,
Dec 24 Corn closed at $3.90 3/4, down 2 cents,
Mar 25 Corn closed at $4.09 3/4, down 1 3/4 cents,
New Crop Cash was $3.46 3/8, down 2 cents
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Source Link : https://www.barchart.com/story/news/28261496/corn-slips-lower-as-ethanol-production-backed-off
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