March Corn finished up 1 3/4 at 371, 1 3/4 off the high and 1 3/4 up from the low. May Corn closed up 1 3/4 at 378 1/4. This was 2 up from the low and 1 1/2 off the high.
May corn traded to a high of 379 3/4 early in the session but have set back to near unchanged on the day. The USDA announced a cancellation of 136,000 tonnes of optional origin corn sold to South Korea this morning. Cheaper supplies from Brazil and Argentina in the near future are starting to get the attention of world buyers. With February coming to a close next week, the February spring crop insurance price for corn is at 386, compared to 385 last year. This compares to 1021 this year for soybeans versus 885 last year. The open interest in corn went down 12,176 contracts on Tuesday, but is still up 130,056 contracts since the beginning of February. A letter from President Trump to the president of the Renewable Fuels Association Bob Dinneen confirming support from the administration to the renewable fuels industry continues to support corn prices. The USDA Ag Forum will release their updated acreage estimates early Thursday morning with last week’s USDA baseline projection showing corn acres at 90.0 million. A Bloomberg survey of analysts and trading companies showed an average estimate of 90.8 million acres with a range of 89.0 to 92.5 million. Using the average estimate and assuming a set-back in exports and the 20-year trend yield of 167.2 bushels per acre, ending stocks come in at 2.003 billion bushels from 2.32 billion this season and
1.737 billion last year.