Although the corn market remains in a downtrend, dry conditions in Brazil’s southern growing region over the next week have supported corn prices. On top of that, crude oil prices remained stronger despite the bearish number in the EIA report, this also supported corn as it leads traders to expect higher ethanol demand. Traders see todays ending stocks coming in near 2.004 billion bushels as compared with 1.892 billion in March. Ethanol production for the week ending April 3rd averaged 672,000 barrels per day. This is down 20% vs. last week and down 32.9% from last year. Total ethanol production for the week was 4.704 million barrels, which was the lowest weekly productions reading since May 2009.
China import demand was revised higher to 4 million tonnes, up 1 million from last month and China has already booked more than 1 million tonnes from the U.S. Support for July corn comes in at $3.33 and resistance comes in today at $3.46 and then $3.49.
