Corn Posting Early Turnaround Tuesday Gains

Corn prices saw a slight increase of 1 to 2 cents in the front months on Tuesday morning, following a session on Monday where futures settled with contracts down 1 to 2 cents at the close. Open interest also saw an increase of 5,170 contracts on Monday, as the roll out of March contracts continues, down 30,801 contracts. The national average Cash Corn price, according to CmdtyView, was down 1 1/2 cents at $3.95 1/4.

Export Inspections data revealed that corn shipments totaled 1.308 MMT (51.49 mbu) in the week ending on February 5. This marked a 14.01% increase from the previous week, although it was down 4.19% compared to the same week last year. Mexico was the top destination for corn shipments at 476,628 MT, followed by Japan with 187,063 MT and Colombia with 135,816 MT. Year-to-date shipments have reached 33.93 MMT (1.336 bbu), showing a significant increase of 46.72% compared to the previous year.

Traders are eagerly awaiting the release of USDA’s World Agricultural Supply and Demand Estimates (WASDE) report later in the day. The market is expecting no major changes to the US ending stocks number, with an average trade guess of 2.215 bbu according to a Bloomberg survey. Additionally, updates on world numbers are anticipated, with Brazil’s corn production estimated to increase by 1.3 MMT to 132.3 MMT.

In terms of market performance, Mar 26 Corn closed at $4.28 3/4, down 1 1/2 cents, but currently showing an increase of 2 cents. Nearby Cash was at $3.95 1/4, down 1 1/2 cents. May 26 Corn closed at $4.37, down 1 3/4 cents, and is currently up 1 3/4 cents. Jul 26 Corn closed at $4.43 3/4, down 1 1/2 cents, showing an increase of 1 1/2 cents.

It is important to note that on the date of publication, Austin Schroeder did not hold any positions in the securities mentioned in this article. The information and data provided here are for informational purposes only. This article was originally published on Barchart.com.