Corn Bulls Getting a Headstart with Monday Morning Rally
Corn futures are trading with 5 to 7 cent gains so far on Monday. Bulls found their footing on Friday following friendlier than expected USDA data. Contracts were up 2 ½ to 10 ¼ cents across the board, led by the front months. September was 16 ½ cents higher last week, with December up 19 ½ cents. Preliminary open interest was up 10,355 contracts on Friday, suggesting new buying interest. The CmdtyView national average Cash Corn price was 7 3/4 cents higher at $4.09 1/2.
Updated forecasts from the NOAA 7-day QPF shows little to no precipitation for an area ranging from the Dakotas, south through KS, as well as parts of MN, IA, IL, and MO, with trace totals in OH and IN.
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The monthly WASDE report from Friday showed US corn stocks for 2025/26 down 125 mbu from last month to 2.02 bbu. That was mainly due to a 150 mbu increase to feed and residual and a 25 mbu cut to ethanol. New crop carryout saw a larger than expected drop, down 170 mbu to 1.790 bbu, due to the lower carryover and a 50 mbu increase in exports.
World corn stocks were trimmed by 5.96 MMT to 275.26 MMT. That came mostly from the US cut, as well as a 1 MMT drop to China on a smaller old crop number. EU production was down 3.72 MMT to 53.78 MMT. Coceral trimmed their EU and UK corn production number by 4.5 MMT to 52.7 MMT. Argentina 2025/26 output was raised by 2 MMT to 63 MMT.
CFTC data released on Friday afternoon showed managed money flipping back to a net long in corn futures and options in the week of July 7, mainly on short covering. That flip was by 58,868 contracts to a net long of 12,659 contracts.
Jul 26 Corn closed at $4.38, up 10 1/4 cents, currently up 9 1/2 cents
Nearby Cash was $4.09 1/2, up 7 3/4 cents,
Sep 26 Corn closed at $4.39 1/2, up 8 cents, currently up 5 1/4 cents
Dec 26 Corn closed at $4.61, up 9 cents, currently up 6 1/4 cents
New Crop Cash was $4.11 3/8, up 8 1/4 cents,
On the date of publication, Austin Schroeder did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
