Mid-Session Corn Market Report for 1/30/2013
Wed 30 Jan 2013 11:31:07 CT
Related Keywords: Agriculture

March corn is trading 6 cents higher midday and the December 2013 contract is up 5 cents. The weather outlook for Argentina continues to look dry over the next 2 weeks with the exception of a rain event at the end of this week which will be closely monitored. Concern that production could be slashed is adding a bullish tilt to the market. The US Dollar is sharply lower on the day after a worse than expected GDP report which is adding strength to the broader commodity complex. This morning's ethanol production report was considered negative to price direction. Ethanol production for the week ending January 25th averaged 770,000 barrels per day, down 2.8% vs. last week and down 18% vs. last year. This was well below market expectations and total ethanol production for the week was 5.4 million barrels. Corn used in last week's production is estimated at 80.9 million bushels, down from 83.16 the week prior. This crop year's cumulative corn used for ethanol production for this crop year is 1.8 billion bushels. Corn use needs to average 87.1 million bushels per week to meet this crop year's USDA estimate of 4.5 billion bushels. Stocks as of January 25th were 20.5 million barrels, up 2.3% vs. last week and down 1.9% vs. last year.


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