Corn Stumbling Despite Increased Ethanol Production
Corn futures declined 8 to 10 cents by midday Thursday, extending overnight losses despite strong EIA data. July options, with heavy open interest in the 450 calls, expire on Friday. Weekly EIA data reported a 34,000 barrel per day increase in ethanol production to 1.057 million bpd for the week ending June 14. Ethanol stocks rose by 395,000 barrels to 23.62 million, despite a 19,000 bpd increase in blender inputs.
Corn futures started selling as trading resumed on Wednesday night and extended the weakness into Thursday’s midday. Contracts are down 8 to 10 cents so far on the day, despite a solid round of EIA data.
July options expire on Friday, with the heaviest open interest among all options in the July 450 calls. Weekly delayed EIA data showed a 34,000 barrel per day increase in ethanol production during the week that ended on June 14 to 1.057 million bpd. Stocks were also on the rise, despite a 19,000 bpd increase in ethanol blender inputs, as they were building by 395,000 barrels to 23.62 million.
Source Link: https://www.nasdaq.com/articles/corn-stumbling-despite-increased-ethanol-production
